Updates to Potential Trades 07/01/18
Price really has come down to a strong level of support and resistance on the daily chart after that breakout;
MACD and MA’s are very close to crossing and if they do we could see bullish momentum. My hesitation on this is that several hundred MP’s are due to meet Theresa May on Tuesday and if there is good news in the camp then this could be positive for the pound.
However, good news surrounding the 6th round of talks regarding the China-US taffiffs could also be positive for the NZD.
At the moment I am going to hang on and look at the middle of the week for confirmation of direction before I place any trades.
Interestingly, price jumped below that huge area if support in the flash crash, which it also did back in June 2016;
However, price has now jumped back into positive territory. All 3 indicators have yet to give a buy signal and I would suspect that China-US talks will give direction to the pair.
I’m looking to get in around the 7400 level with my target at 7800 and my stop just below 7200.
I was really looking at trading this one and have been going back and forth about whether or not to;
With a negative turn off of a retracement to that broken ascending trend-line the pair is pointing to negative territory. However, I would have to put my stop at 18196 - which is the previous high - negating the flash crash high - and with the current entry of around 17850 level this is more than my strategy allows for risk percentage.
I am also concerned that any positive news on Brexit on Tuesday or bad news surrounding US - china trade relations could knock the Ozzie for 6.
However, I have also seen on the 4 hourly chart that a possible head and shoulders pattern could be in the works;
With this I could wait for a break of the neckline and then potentially place my stop just above the broken neckline area giving a much better risk percentage.
This pair I have mainly seen a downtrend on the 4 hourly chart that is a potential trade;
Not a trade at this moment in time but if the cable-comdoll crosses don’t play out then this could end up being a better trade.
Huge break of that ascending trend-line but then price has stopped dead on that previous area of support/resistance;
Currently the logical place to put my stop would be around the 16330 area which at the current price levels is 3.5% of my capital - minimum.
However, I think a rebound off of this descending trend-line on the 4 hourly and a break of the 16000 level would allow me to place my stop either at rebound level or broken support/resistance level and give me a much better risk percentage.
This pair continues it’s downward march as continuing worries over the trade war as well as the government shutdown weigh on USD and the JPY continues to provide a safe haven for investors;
Price appears to be about to rebound off of the new descending trend-line. To gain an entry point I will look to trade the pair on the 4 hourly;
A bounce off the descending trend-line could lead to MA and MACD crosses as well as RSI dipping below that 50 level.
I would look to enter around 10739 and place my stop at 10887. Aiming for target 1 at 10443.
Price still flirts with broken support line of ascending trend-line;
I have to be careful with this one because my ascending trend-line is not a strong one and so this pair could just as easily carry on that bullish momentum. That previous low at 6600 could be a new low pushing to a new high for the start of a new up-trend.
Very much a wait and see which direction price takes.
Pair is at a very interesting area of support which goes all the way back to 2015;
From that breakout and now to a retracement to that previous area of support around the 7040 level - price then dipped a little to the 6920 area but I think this could be a return to normality after the flash crash.
However, because ill be targeting that previous high around the 7400 area my stop will be relatively tight - therefore, looking at the 4 hourly I will wait to see if price retests that support level before getting in as I don’t want to prematurely stopped out by a re-test;
This is particularly relevant as price reached the area that price is at now the last time it rebounded off the 7040 level.
Again with this pair price broke the ascending trend-line;
A look at the 4 hourly suggests that a retest of the 9122 area might be a good place to go short on the pair;
Happy trading guys!