Mid-day update
Strong day for NZD and AUD not doing too bad either, add this to weakness in USD and JPY, and our 3 most recent SW trades, NZDJPY, AUDUSD, and AUDJPY are all having a nice upswing.
Good day for our 3 most recent SW Trades, and bonus trade long EURUSD also had a nice move higher,
As Cryptos steel some of FOREX market share expect smaller moves in our currency pairs
We have Balance in the Force
The eight major currencies that I follow can be placed into 3 groups, Commodities ( NZD, AUD & CAD) European ( EUR, GBP &CHF) and finally Safety ( USD & JPY). These groups tend to move together, as they are today. It is for this reason I prefer to take trades in pairs that are not in the same group, My three favorite pairs are AUDUSD, EURUSD, and EURAUD, these three pairs take the most traded currency from each group. It is also why any currency match to the USD is considered one of the majors, and why trading USDJPY can present problems as both are from the same group
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New Traders should really pay attention to this thread…It is one of the most consistent ways to trade the D1 timeframe successfully, far more reliable and less stressful than “Scalping”. It is also possibly one of the most time efficient strategies allowing part time traders a chance to profit.
Very possibly the most complete and concise strategy thread on BP.
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We finished week 1 of the year with the Commodity block in firm control of the market with Safety ( USD and JPY) weak. This combination is known as “Risk On” and can also be seen in a strong first week for Stocks.
Top SW Trade NZDJPY it a high of 180 Pips on Friday, the two other recent Top SW Trades I am tracking also posted modest gains on Friday, AUDUSD +48 pips and AUDJPY +106 pips
2018 is off to a good start, let’s make some money
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very little movement today
Strong day for the Yen, Our top SW trades have given back most of their gains, this is why you need an exit strategy in place before you take a trade so not to trade on emotions when price goes against you
Big move today in the Yen, don’t be surprised if this is #1 before months end, as I have pointed out many times before, Yen likes to move from last to first and back to last, expect to see several round trips for the yen this year.
NZDUSD is out newest Top SW Trade and I will use today’s closing price for tracking,
Yesterday’s Top SW Trade NZDJPY topped out at +184 pips, That is a good start to the year
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Dennis,
I was hoping where I might learn more about the groupings of currency. It was very interesting to read about the three groups of all the major currencies.
Congrats on your first win of the year! Unfortunately, I cannot say the same 
My stop losses got me out of my trades the wrong order! USD/CHF first with a loss to protect myself and USD/CAD with a T/P win! Shucks!
I look forward to another year of reading your posts Dennis. I find it very insightful and educational. Thank you.
Respectfully,
Dan
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Yen took a break and New Zealand reinserted its self as our SW leader. Top SW Trade NZDUSD was up +65 pips
Top SW Trade NZDCAD entered on Dec 12th. has had two big days hitting a new high just shy of 200 pips. Notice how the pullback stopped at the 34 day moving average ( 34 dma is proxy from 200 ma on 4 hr chart)
Keep an eye on EURUSD, after a pullback it looks ready to challenge last years high. I am staying long this one for a long-term hold
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New Zealand held firm for the week but strong finish for Euro, US dollar remains weak
Top SW Trades AUDUSD and NZDUSD finished week just below +100 pips, I will watch for these to continue to move higher even if they lose their top spots, but it is EURUSD that I am most excited about , more on that in next post
I told you last Thursday to watch for a breakout in EURUSD and we had the breakout on Friday, big 170 pips move. EURUSD was top trade of 2017, no reason we could not see another +1500 pip move in 2018, I am staying long this one
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Hi Dennis, I don’t follow that many forums, but I have been following yours. Great job on the content, and thanks for sharing.
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Semi-Holiday here in the US so markets did not move a whole lot, US dollar weakness is still the play
Top SW trades AUDUSD and NZDUSD topped the +100 pip mark, and bonus trade EURUSD is up +250 pips already this month
Profits are here for the taking
A small pullback in our Top Trades, a little weakness in NZD and AUD, CHF had a little rally. Nother to suggest any of our trends are reversing.
Record day for US stocks sent the Yen lower but oddly the US dollar rallied. Still our Top SW Trades hit some new highs before pulling back.
AUDUSD + 196 Pips
NZDUSD + 134 Pips
looks like all the currencies gained ground against both the Yen and US Dollar, no new highs for our Top Trades but both AUD and NZD recovered nicely from Wednesday’s small reversal. I have seen a lot of calls for a stronger US dollar but so far that has not happened, Until something changes, we will stay the course and bet against the dollar
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While most the market was moving sideways, our Top Trade AUDUSD manage to top +200 pips on Friday before reversing and finishing with a little pinbar reversal, With Friday’s action I would expect we could see a pullback in AUDUSD early part of the new week, but nothing to suggest a trend change.
I urge everyone to have your own trading plan and know in advance when to take profits, for me, taking some profits at the 200 pips mark is a must
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