Like the title of this blog suggests, making pips in the Forex is easier said than done. This "reality blog" will allow you to follow my life as a Forex trader. I'll not only discuss trades, but also my emotions during these trades. You'll see my ups and downs, my highs and lows, and my smiles and tears.
This is the true story of one man, picked to live in front of his computer screen and find ways to make money off the Foreign Exchange. See what happens when markets stop being polite, and start being real! The Dollar gains strength with increase in Non Farm Productivity
Recapping the Majors
EUR/USD- The Euro continued to fall and settled down to 3550. This is the 3rd straight day that the Euro has fallen ever since hitting the 3650 mark on April 30th. Today's drop below the 3600 level may indicate the beginning of a Euro downtrend.
Result: The Euro dropped for the 3rd straight day against the Dollar and fell through the 3600 mark and hit 3550.
GBP/USD- The Sterling floated up slightly higher to 9950 but dropped sharply and fell below 9900 and almost reached 9850. Although it was only a small drop for the Sterling, it still marks a 2nd day of the pair closing below the 9900 level which could mean we could see further drops.
Result: The Sterling fell slightly against the Dollar and closed below 9900 for the 2nd day in a row.
USD/CHF- The Dollar fell early against the Swissy but ended up rallying strong and rose back up to its 50 EMA on the daily chart and ended up closing above 2150 at around 2160.
Result: The Dollar rallied higher against the Swissy and ended up closing above 2150 at around 2160.
USD/JPY- The Dollar continued to rally against the Yen as it headed to almost 120.50. Today marks the 3rd straight day the Dollar has risen against the Yen after it had been ranging around 119.50.
Result: The Dollar rallied higher for the 3rd straight day as it moved above 120.00, nearly hitting 120.50.
Chart Analysis: What's going to happen next?
EUR/USD
The Euro did end up falling some more but it hasn't reached 3500 yet like I think it will. Daily stochastics are still trending down and are not in oversold territory yet. However 4hr stochastics are now entering oversold territory although they are still trending down. Look for the Euro to continue to fall from 3550 towards the 3500 mark.
GBP/USD
The Cable still fell slightly today although it didn't fall as much as I thought it would. Daily stochastics are now heading into oversold territory but are still trending down. 4hr stochastics are also trending down which adds to my bearish bias. Look for the Cable to fall to 9800 which is where the 200 SMA is on the 4hr chart.
USD/CHF
The Swissy ended up rising to its 50 EMA on the daily chart like I said it would yesterday but once again found resistance there and fell back down near 2150. Daily stochastics are near the overbought territory although they haven't crossed down yet, while the 4hr stochastics are still trending up nicely. Look for the Swissy to rise up towards 2200 tomorrow.
USD/JPY
The Dollar continued to rise against the Yen today. Both 4hr and daily stochastics are in overbought territory although they are all still trending up. If tomorrow's US NFP report comes out positive, look for the Yen to travel to 121.00, but if the NFP is negative, look for the pair to drop back down towards 119.50.
