Last week it was a little tricky at the start but after Tuesday we began to see a lot of trade opportunities. This is because we had a holiday in US and Canada. Then on Tuesday we had a packed news day with plenty of economic results out. This caused volatility in the market. However, I did share with you all the setups on my shorter timeframe post and also in the forum.
You can see the shorter timeframes analysis below if you missed it. (only available to members)
We are now working with FX2 who are giving you the opportunity to trade for them using their funds.
The Forex Week Ahead+++++++++++++++++++++++
The week ahead looks pretty good to trade as the news for different currencies are spread out. We can be very flexible. So make sure to have a plan and trade around the news events. Also, be careful on Tuesday, you have BOJ Gov-Designate Ueda Speaking. This could cause some volatility on the YEN pairs like Friday. Also, it is the last day of the month, so I’m usually more cautious with my trades as you can have some unexpected moves. This is because the big boys could be closing trades to show profits for the month on their accounts.
Keep an eye on the $ index.
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: stopped to the pip at the 200 MA. Leaving it alone as its in between the EMAs. Keep an eye on the DXY.
USD/CHF: A grade short at 0.94350, watch DXY for correlation.
Do not take the Euro/$ & Chf at the same time. They are correlated so it’s the same “bet.”
GBP/USD:Last week it gave a very good trade which was a 150 pip move. I would short again at 1.20850.
AUD/USD: Looking for a short at 0.68440. Possible longs at 0.66740 as its a major area of Support and resistance.
NZDUSD: Similar to the AUD but the risk reward isn’t there so prefer the AUD.
USD/CAD: Broken out of a range. I would look for longs at 1.35180.
USDYEN: leaving alone for now
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: 0.86840 is the A grade long for me.
EURCAD: Its still 400 pips away. 1.4010 is my area for a long. Possible shorts at 1.44080
EURNZD: I will look at split entry for longs at 1.68500 and 1.68080
EURAUD: Stopped at the top of the range, managed to make 90 pips last week. Leaving it alone for now until more clarity.
AUDCAD: 0.9110 is interesting for a long, it could get there this week.
AUDNZD: A grade long in the current area at 1.09100.
GBPCHF: 1.1490 is where I have placed my forward order. It is a major area of resistance but still far away, been waiting for weeks.
M3 -Shorter timeframes.
I do my analysis on daily and weekly charts first and make a note of the MAJOR areas of support and resistance. Then copy them onto Pierre’s Earth and sky template. Then I make a note of the weekly & monthly pivots points and add them to the charts. You will see lots of opportunities line up during the week. The important thing then is to select a bias for the next few days and do NOT take trades if the price is too near a trend line or pivot. Ideally, you want to buy when the price is near a major support and or pivot point line and has the potential to make at least 40 pips. Vice versa for a short.
New members, please note: If I am looking to take a trade long, for example, 1.5000, I place my order 10 pips above & 10 pips below for a short. This is because price often does not quite reach a major line and you need to allow for spreads.
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):