Hi guys,
Things have been slow so far this year for those of us trading from longer timeframes, so we will have a brand new section from Ashley who is now day trading. Ashley will make at least one blog post here a week and continue to share trade ideas in the forum on a daily basis.
There are other talented and experienced traders in the forum who are willing to help traders new and old so get in there and take part!
On Friday I recorded a short video showing how to use M2 for the “big picture” but then go down to smaller time frames to find trades. if you missed it, here it is 🙂
The video autoplays too fast, go to the playback rate and change it back to one (bottom right, 3rd box in).
Stocks & Metals
I said a couple of weeks ago “The FTSE & S&P have currently broken major areas, but I am not going to buy mainstream stocks. I am still looking for gold & silver to drop to add to my holdings and especially the miners.” I am buying some silver today. I will buy more if it drops lower. I would also like gold to pullback some more. To leverage teh metals I buy gold and silver miners and they are starting to pullback so fingers crossed:)
RIG the stock that James and I showed you back in the summer is currently +135% so things are hotting up nicely. I will cover all of this in this weeks live training session.
The Forex Week Ahead+++++++++++++++++++++++
The week ahead has some very important news for two currencies. Employment figures and CPI for the GBP. CPI and core retail sales for the U.S. The CPI y/y for the U.S is a major one as this news as we have seen in the past moves the market. Best advice would be to not open any trades and move your stops to protect an ongoing trade. Dont try to guess the figures, it wont go well.
The GDP figures for the GBP didn’t come out good last week, also the speech from the BOE was very bearish and they mentioned slower growth for the year ahead. All signs to show that the GBP is bearish.
MAJORS
Keep watching the $index it is now at a major “make your mind up” area on the weekly charts. I said a few weeks ago that even though it was dropping I suspected a move up was more likely than down, so far that has turned out to be the case.
Remember I am looking for “A” grade trades from weekly & daily charts that I can place the orders and then just walk away. A “B” grade is one that I will watch on smaller timeframes to see how it reacts if it hits my zone.
EUR/USD: I show in the video how 1.0610 is the stronger area for me to long, for multiple reasons. But I don’t fancy taking it for now so will be leaving it alone as it’s not very clear. Keep an eye on the DXY.
USD/CHF: A grade short at 0.94500, watch DXY for correlation. It helped last week.
It has been an M2 break out of a major, 2-year-old trend line. Emas, fibs, trend all support my plan to short at 0.9460. If that fails and if the price breaks back up and closes above 0.9620 (daily candle) I will look to long. Both have very good risk-reward opportunities. I also show in the video how you can use the Euro/$ to give confirmation on this setup.
Do not take the Euro/$ & Chf at the same time. They are correlated so it’s the same “bet.”
GBP/USD: 1.2110 will be of interest to short if it pulls back.
AUD/USD: B grade 0.6870/6900 areas to consider a long.
NZDUSD: I wouldn’t touch it for now as its stuck in between the EMAS, watch the video.
USD/CAD: Recent Cad news has been better than expected. On the 4 HR interesting to long again now at 1.3260. The Absolute A grade for me is around 1.300 which has been massive support and resistance going back 20 years. So if there is a big drop after the news it will “probably”- (remember we trade probability), at least struggle there. No guarantees of course but 20 years suggests it’s in my favour 🙂
USDYEN: interested in shorting now at 133.70
CROSSES
Some are A grades where I will place forward orders, most pairs have “areas of interest.” I have a lot of similar crosses so be very careful with the correlation.
EURGBP: 0.8650 is the A grade long for me. Intraday 0.88280 is an area to watch as there is a trendline. watch the video.
EURCAD: Its still 280 pips away but it can do that in a day. 1.4010 is my area for a long.
EURNZD: I have made a split entry at 1.6850 and 1.68010, watch the video.
EURAUD: Overall in a downtrend but stuck in a range that is around 250 pips. Look for shorts around 1.55500. watch the video for more clarity.
AUDCAD: I wouldn’t short it. 0.9110 is now 120 pips away. A long for me if it gets down there.
CADJPY: interesting to long at 92.20
GBPCHF: 1.1520 has given us quite a few decent 450+ pip wins in recent months. Until it breaks I will keep shorting BUT not around news unless it drops significantly early in the week.
Aud/Yen: In a mess at the moment so wouldn’t touch it.
As always, remember correlation!
We are NOT a “tipping service” our aim is to teach you how to trade for yourself.
Watch the video below for more detailed explanations of this week’s analysis and trade plan (click the 4 arrows bottom right to view full-screen):
Regards
Marc
