Top 100 Forex Blog
Select Page

pierres_post

Good morning all

What’s up and whets down this week?

Well for starters one of our members asked a valid question regarding the Aussie/JPY. Joydip, please have a look at my notes under this pair for an answer.

Getting back to the market, we can see we had some BIG bumpy moves last week so it will bring the 38.2 fib in to play this week. I personally don’t like trading from the 38.2 fib levels BUT we will occasionally have times in the market where we had such big moves the previous week that price is way way way out from our preferred Earth and Sky trading zone. These big previous weeks moves might have a impact on the depth of the correction and with the Earth and Sky trading zones being too far out…….our focus must move now to the 38.2 fib areas too.

I will not purely look at just the 38.2 fib level to take a trade from …….but for multiple reasons at this specific 38.2 fib area. Have a look at today’s video clip so that we can get on the same page here

Let’s have a look what’s cooking in the kitchen for the week ahead:

1) Euro Index on the 4 hour chart:

Currently I have an Earth and Sky short zone between 101.02 and 101.84 with areas to keep an eye on at 100.65 (38.2 fib and weekly main pivot and 55 EMA) and 101.02 (50% fib and 200 EMA) for solid resistance before I will look to short

Possible counter longs from 98.73 at WS1 pivot

If we make new lows without the pullback we wanted – follow it with your fib to get the adjusted zone for the week.

……………………………………………………………….

2) Euro Dollar on the 4 hour chart:

Currently I have an Earth and Sky short zone between 1.1003 and 1.1152 with areas to keep an eye on at 1.0933 (38.2 fib and 55 EMA) and 1.1003 (55EMA and 200 EMA) and 1.1121 (200 EMA) for solid resistance before I will look to short.

Possible counter longs from 1.0656 at the WS1 pivot

If we make new lows without the pullback we wanted – follow it with your fib to get the adjusted zone for the week

……………………………………………………………….

3) Euro JPY on the 4 hour chart:

Looking at last week’s opening and closing price then we only closed 7 pips higher so we slowing down here.

Currently I have an Earth and Sky long zone between 115.15 to 114.43 with areas to keep an eye on at 115.48 (38.2 fib and weekly main pivot) and 114.82 (55EMA and 200 EMA) for solid resistance before I will look to long

Possible counter shorts from 116.93 at the WR1 ad MR1 pivot.

If we make new highs without the pullback we wanted – follow it with your fib to get the adjusted zone for the week

……………………………………………………………….

4) Euro GBP on the 4 hour chart:

Currently I have an Earth and Sky short zone between 0.8798 and 0.8913 with areas to keep an eye on at 0.8778 (55 EMA and 38.2 fib) and 0.8815 and 0.8829 (200 EMA)for solid resistance before I will look to short.

Possible counter longs from 0.8443

If we make new lows without the pullback we wanted – follow it with your fib to get the adjusted zone for the week

……………………………………………………….

 5) GBP Dollar on the DAILY chart:

Currently I have an Earth and Sky short zone between 1.2485 and 1.2711 with areas to keep an eye on at 1.2575 (55 EMA) and 1.2600 for solid resistance before I will look to sort. I do however have a problem as we have the 4 hour 200 EMA and 55 EMA lower down that can form a roadblock and give support at 1.2451 …..so take note of it, as it will be better for price to clear this area first.

Possible counter longs from 1.2030 and 1.1863

……………………………………………………………….

6) GBP JPY on the DAILY chart:

Here we broke loads of EMA`S at 130.27/74 to the upside. I will keep an eye on the weekly 55 EMA at 136.01  and 136.89 ( MR2 pivot ) for solid resistance before I will consider taking a short back down to the MR1 pivot at 132.57..

………………………………………………………………

7) Aussie Dollar on the 4 hour chart:

Currently I have an Earth and Sky short zone between 0.7650 and 0.7714 with areas to keep an eye on at 0.7519 ( loads happening there plus 38.2 fib) for solid resistance before I will look to short.

Possible counter longs from 0.7533 and 0.7456

If we make new highs without the pullback we wanted – follow it with your fib to get the adjusted zone for the week

………………………………………………………………

8) Aussie JPY on the 4 hour chart:

Hi Pierre,

Regarding AUD/USD, daily 34EMA is higher than daily 55 ema. Which is contrary to the 4hour chart. In the book you mentioned that when there is conflict we should take the daily chart to fib and not the 4 hour chart ? Then why are you fibbing 4 hour chart for this week ?

Regards Joydip

We have 2 options here this week:

Joydip if we look at the direction indicator we will see that the direction is long on the Daily chart and short on the 4 hour chart so the main direction is long.

Now let’s look at the daily chart…..here we can see that we were flat last month as the opening and closing of last month  were too close to each other……so we can’t fib last month to get a long Earth and Sky zone on the daily…..( if we had to fib it it will look like this and we can see that price is on the other side of a zone)

However price is currently at a key support level as we hitting last month’s low and a daily 200 EMA at 0.7533 and we have a MS1 pivot a little bit lower down…..so a possible long can set up here.

x

NOW back at the 4 hour…..here we can see we closed min 130 pips lower than last week’s opening and price broke loads of EMA`S at the weekly main pivot at 0.7611 to the downside….so we are in a strong bearish move…..so what if we fib it…..? Will we have a roadblock in the zone or before it ? Yes we do…..price can find support and move bullish but we have loads of EMA`S at 0.7611 and a weekly main pivot and 38.2 fib that can keep price down.

Currently I have an Earth and Sky short zone between 0.7649 and 0.7713 with areas to keep an eye on at 0.7619 ( loads of EMA`s happening there plus 38.2 fib) for solid resistance before I will look to short.

Possible counter longs from 0.7519 and 0.7456

If we make new lows without the pullback we wanted – follow it with your fib to get the adjusted zone for the week

jou1

………………………………………………………………

9) Dollar JPY on the 4 hour chart:

Currently I have an Earth and Sky long zone between 104.42 and 102.80 with areas to keep an eye on at 105.98 ( 38.2 fib and 55 and 200 EMA) and 104.27 and 104.13 for solid resistance before I will look to long

Possible counter shorts from 108.00 and 108.54 and 108.82

If we make new highs without the pullback we wanted – follow it with your fib to get the adjusted zone for the week

………………………………………………………………

10) Dollar CAD on the 4 hour chart:

Currently I have an Earth and Sky long zone between 1.3416 and 1.3341 with areas to keep an eye on at 1.3452 ( 38.2 fib and 55 EMA) and 1.3430  and 1.3400 for solid support before I will look to long.

Possible counter shorts from 1.3600 and 1.3627 ( high area and WR1 pivot point)

If we make new highs without the pullback we wanted – follow it with your fib to get the adjusted zone for the week

………………………………………………………………

11) Dollar Index on the 4 hour chart:

Currently I have an Earth and Sky long zone between 98.04 and 96.94 with areas to keep an eye on at 98.26 ( 38.2 fib and 55 EMA ) and 97.74 and 97.50 for solid support before I will look to long.

Possible counter shorts from 100.00 and 100.37 at the WR1 pivot.

If we make new highs without the pullback we wanted – follow it with your fib to get the adjusted zone for the week

………………………………………………………………

Regards

Pierre

If you would like to learn how to trade like a professional check out our 5* rated forex mentor program, RISK FREE; by clicking on the “Get Started Today” Button below

Pin It on Pinterest

Share This