Hey Journal.
Like I said, we’re gonna figure out this together. And see it also! Step by step.
So, this is what I got so far. Looking first at the JPY. I’ve been in this trade this week. The only trade, because the Yen has definitely taken a back seat in the field.
This is the AUD/JPY. Daily chart. I can’t remember which day, but was kind of early on this past week I got in.
Why did I get in? The yellow and green lines are close together. It’s a consolidation happening. We’re coming off of the JPY strong trend. But, price hasn’t gone up far enough to turn the trend. (Unlike the other pairs to the Yen) Price has stayed pretty close to both the 8 & 21 EMA’s. So, you know what I’m going to do, right?
Like I’ve been saying. I need to be ready. Oh, I remember my thinking. I made a sell stop limit order right on the green line. That must of been at the open of the week. And price, of course, hit that. I did not put in a stop loss yet. Since I check price at the end of every day, I figure I can always jump on out if it rose to high.
Oh, and by the way, I am going south here. Why? Yeah, I know. Well, everyone else has pretty much skyrocketed on up, except the AUD. They have been pretty much subdued lately. Fundamentally speaking. As opposed to the NZD. Now they have shown great strength as of late. Anyway, I’m betting on a trend continuation, after a consolidation. So, that’s why. But, I’m in at the green line. And that is my only function. I don’t know what’s going to happen, but I can tell you, if it decides to break on south, I’m ready for the beginning of the trend. There’s no other way I can see to make this happen. If I’m wrong, then the yellow line will start moving higher than the green, and I will get out. And all I’m doing is watching those 2 lines. They are poised for a breakout soon. And I’ll just show you the others that I’m watching and thinking about.
Here’s the daily chart of the Yen to the Majors.
All I do is watch price in conjunction to the 2 lines. We have a way to go. It’s the green line that is most important. Yeah sure, price seems to be starting to come on down, but we have a ways to go. So, not much happening here. Let’s look at the rest of the Comms to the Yen. NZD, CAD.
You can see where I set a limit order on the NZD (left one). But that was early on in the week. See, that green line continues to move. And the more price moved on up, the higher it went. See, I want to be prepared. And now that price is moving on down, I just might have to move the limit order up closer. Remember, the goal is getting in a trade at the green line. Look, it looks like, on the NZD, that price on Friday has went down and touched the green line, then came back up.
Yep, no doubt there. Well, that definitely tells me that I’m getting close. At the open I’m gonna change my open order to that green line price level. Think about it. If price is going to go down below that level, then the yellow line will follow. This is what the beginning of a trend looks like. And I believe all I need to do is have an order ready at the green line.
So, that’s the plan. I’m gonna be ready for both the CAD, and the NZD, at the open of the week.
Here’s the CAD.
You can’t deny that these look like a good possibility. They, in fact all the Comms, printed a doji of a weekly candle.
So, as of right now, I’m going to just stay with the JPY pairs. If by chance I see something else similar going on in any of the other pairs, I’ll pipe on in here and we can talk about that also. I really am not wanting to get too spread out. Once I get the hang of this strategy, then I think I will.
I can see myself going back to the portfolio methodology, once I can assure myself of being able to get in, stay in, and get out of a trend at the right times.
In time though.
Mike