***Be careful. 100.00 Mark means parity for EUR/JPY. This has never happened before. What’s it gonna be when it hits this level?! I don’t really have a clue, but I’d rather stay aside and see what happens. Although I doubt there will be any real volatility that would push the price on those levels. However, you be careful.
Disclaimer: TRADE ON YOUR OWN RISK. THIS RECOMMENDATION IS ISSUED FOR LEARNING PURPOSES ONLY.
I decided to close all my current open positions. The reason is simple because the demand for the safe-haven currencies is diminishing as we approach the end of the year thus putting pressure on JPY as well. So it is logical to expect a minor dip on USD over the following weeks. But the bias still remains Bullish for the USD as we enter 2012. Let’s see what will happen.
Hi everybody. For those who followed this recommendation, if they want they can close the first lot and put the Stop-Loss to Break-Even. I’m not doing it, but for those who want to play it safe, just before the GDP figures at 21:45 GMT actually it would make sense. Anyways, let’s see how things play out.
Hi everybody. For those who followed this recommendation, if they want they can close the first lot and put the Stop-Loss to Break-Even. I’m not doing it, but for those who want to play it safe, just before the GDP figures at 21:45 GMT actually it would make sense. Anyways, let’s see how things play out.
First lot manually closed at 1.68431(+147.6 pips). Technically the price hit the target, but due to wide spread (around 15 pips) the trade couldn’t close. 2nd Lot’s S/L moved to Break-Even @ 1.69907 :D.
There a couple of interesting Candlestick patterns forming around this support area @ 1.5675 - 1.5700 area. This is a sing of indecision and I’m looking to short this pair if we see a nice bearish engulfing pattern for confirmation (probably Monday). Let’s just see what happens tomorrow.
Why hasn’t anyone posted here to thank GicaEric for posting this great information?!? Even though this isn’t my trading style your chart breakdowns, expected trades, and info is greatly appreciated. Keep up the good work.
Hey Johnny thanks for encouragement. I hope someone’s benefiting from my posts :D!
Good weekend what can I say. One thing I’m glad is that I gave up Alcohol. Just seeing my friends hungover… what a mess! LOL Anyway great weekend, merry Christmas and happy new year to you all. I hope, 2012 will be a winning year for us all.
Hey guys what’s up? - Normally, trading on the last week of the year it’s the dummies idea one can do. So, I suggest you don’t take any trades for this week. Just enjoy yourselves and have fun. Recharge your batteries and make a hell of come back on 2012.
So this is my last post for this year. Probably I won’t be trading on the first week of the year as well, but let’s how things play out.
However, this chart of GBP/USD is kind of ideal trading setup I would have traded under normal circumstances. I’m not gonna trade it, but I’m posting the setup anyway, just to see technically how would it have worked. .
So we have a nice bearish engulfing as expected. But, the dip is enormous, and technically it’s not a good idea to enter immediately. We would’ve waited for a pullback and then short it.
Anyway, here is the chart and more importantly DO NOT TRADE IT!!!. As a matter of fact, DON’T TRADE AT ALL THIS WEEK!!!
Hey there. Well, one thing you’ve gotta keep in mind is that:
Candle Patterns are not necessarily reversal signals. In most cases they are, but there are times when Candlestick Patterns actually signal price Continuation. Also, Candlestick patterns [B]SHOULD NOT[/B] not be used alone. You’ve gotta have multiple things like Trend Lines, Support/Resistance Pivot Points or Historical Horizontal Lines, Fundamental Analysis & Sentiment all lined up together in order to confirm any movement.
Yes, they confirm S&R. In most cases this is true, especially when Record High or Lows are exposed, Candlesticks are used to mark significant S&R zones.
I’m not quite sure if I understood this but, generally speaking you should not be based solely on Candlestick patterns to determine price movement.
I’ve read a couple of books from Nison’s, but I don’t wanna sound like a smart a… here or anything like that, but Doji patterns actually are not working as they used to work before. I’ve done some research on Doji reversal and I found out that often a while back, Doji’s where very reliable. However nowadays, they are considered more like Indecision signal, it could go one way or another.
Also, the higher the time frame the more reliable the patterns are. I know some guys claiming that Time Charting is like Mathematical Fractals, patterns work regardless of the time frame but, this is not true. If you don’t believe me, do a research and see for yourself. Also, for some reason, 4 Hour Timeframe Candlestick Patterns are considered very unreliable nowadays. I don’t know exactly why, but I think that the more popular one idea gets, the less it works. And I’m sure that 4H Timeframe is the most popular timeframe people use, and you know you have all sorts of Hedge Funds, Retail Brokers & Professional Traders doing all sort of nasty things like Stop Hunting, Reversal Trapping etc.
The best advice I got from professionals is that they don’t get attached to someones ideas. They don’t even consider their own ideas. They just trade what the market is telling them. Basically trade what you see, not what you wanna see.
im still waiting for it to hit the or nearly hit the semi support line, hehehe i like your analyzation and im testing it on a demo account as of now it doing hella fine than my own method, i think i should start again and stick and master one technique
Yeah, probably the best idea is to be consistent on a particular trading method. Then see if you have positive results. But let me tell you this, if it is a mechanical system you’re seeking, most probably you’re going to get disappointed. Never found one that was consistent. It was funny because, it was like chasing your own tail. There were systems that worked very well for a period of time then, they started loosing big time. Just when I was reversing them, they started to work as initially built.
It was like a pattern. But I never figured it out when the ‘x’ system or method will work when it won’t! - After a while I found the missing ingredient . [U]There was none![/U]. But I learned the lesson. Mechanical systems fail because they disregard three fundamental pillars of Market Price:[B] 1. Chart Analysis (aka. Technical Analysis); 2. Fundamental Analysis; 3. Overall Sentiment Bias(Trend).[/B] Every system that fails to meet these criteria sooner or later [B][U]WILL FAIL[/U][/B]!!! - I don’t want to sound all pessimistic but to me at least this is true. I failed more than you can think with these kind of systems.
I think the road to professionalism is at innovative organization, thorough analysis, information breakup, PLANS, consistency and focus. I try to look at what the market is providing me, what it is it showing? -Rather than mechanically (blindly) making all sorts of crazy deals.
Take a look at this interesting pair. NZD has gained some really nice pace over the past two months. The area 0.8029 - 0.8075 is historically significant. Also as you can notice on the chart, this area coincides with 200 SMA which is a strong bouncy indicator (in this case). I’m personally waiting to see some sort of resistance in this area, herein a nice Candlestick Pattern for a bearish reversal setup.
However if we see a strong rally through this area, I’ll be looking for a bullish setup. Let’s see how things play out.
Despite the fact that RBA cut it’s lending rates back on December A$ held it’s head high, and it seems as heading higher forever just won’t be the case (fingers crossed). Triple confluence points are very important, however we also need some fundamental data to backup our view on any bearish reversal setups. I read a couple of reports lately hinting that RBA might be due to cut another 0.25 bps: from 4.25% to 4.00%. Should the rumor grew, I think pretty much, the foretold price area could be a nice sell opportunity.
Also, let’s see how that the little tiny red Hammer or Doji is going to influence that resistance point. Although it’s origin is from the Drunk Week (1st Week of January), we might get to see another Minor dip.
.
. [U]There was none![/U]. But I learned the lesson. Mechanical systems fail because they disregard three fundamental pillars of Market Price:[B] 1. Chart Analysis (aka. Technical Analysis); 2. Fundamental Analysis; 3. Overall Sentiment Bias(Trend).[/B] Every system that fails to meet these criteria sooner or later [B][U]WILL FAIL[/U][/B]!!! - I don’t want to sound all pessimistic but to me at least this is true. I failed more than you can think with these kind of systems.
