We can see today how the USDJPY (JPY has strengthened) has declined as soon as it hit the top trade… Nothing against Dennis’s SWA Strategy… This happens from time to time… But you can see it coming…
If you have applied the Momentum Oscillator as I layout earlier this week, you would have had plenty of warning the trend momentum was weakening and would/should have been out of your position (2 points) before the huge reversal at the London Open on Thursday morning…
All part of an alternative risk strategy to relying on a Stop Loss…
I know… Shock, Horror right…
I also coded into the Momentum Indicator a Real Time SWA Percentage Value field (Bottom of Chart), so I don’t have to do the calculations in Excel anymore…
Just take the values and shuffle the order at the New York close.
Great stuff man, thanks for always being incisive, giving freely and positively. I use the COT report as additional confirmation. So commercials had already started unwinding CAD, EUR, CHF, GBP and JPY shorts a week ago. Economic data like the Interest rate decisions across all major economies serve as the final puzzle. I have realized trading when technical analysis and fundamentals are in alignment is a sure fire way of making some serious money.
A mixed day, oil was down 6% at one point but has recovered and could be signaling a reversal and heading back up after a two-week correction, Top Trade CHFJPY is up 5 days in a row, and on its way to a 6 week win streak
