Technical Analysis

The technicals had been showing signs for it, and today the fundamentals finally allowed the dollar reversal that I’ve been talking about for a week now to take place. On all 4 majors I have been ranting on and on about how there would be a dollar reversal because everything was either showing oversold or overbought along with divergences, hidden divergences, and strong support/resistance levels. In a market where things rarely happen the way you’d expect them to, this is kind of a nice moment for me. So I’d like to take a second and take a deep breath…..ahhhh! Man it feels good to be right! Sigh, ok back to reality…

Oh how the markets like to tease me! The Swissy trade I am in moved in our favor again and got as high as 2476 (my target is 2500) before moving back down to around 2450 again. I still like this trade because the technicals still work in our favor but tomorrow’s Non Farm Payroll (NFP) report could stop me out if we see a weak number.

Last Friday I talked about all the pairs I was close to trading. Well today, I finally entered one of my trades. I’ve been yapping about the USD/JPY and how it had recently made a 20 day high which was expectedly followed by a retracement. Well after 4 days since that 20 high, I am finally in trade after the USD/JPY broke through this level. Apparently during the G7 meeting, no one mentioned the need to raise the value of Asian currencies.

There was an “ok” amount of movement in the markets today, none of which really gave any time for me to find a plausible entry, but at least there was something. I came very close to entering 2 trades. The first one was the GBP/USD. Yesterday I mentioned that I was looking to short the …

Once again, nothing really major happened today except for the fact that it’s more evident now that the ECB will raise rates again due to inflationary risks. Trichet used his popular statement of applying “strong vigilance” on inflation. That’s such a cool term. I’m going to start saying that whenever I need to make a …

Don’t vertrade. Focus on the quality of each trade, not on the quantity. One of the hardest lessons for a trader to learn is not to overtrade. You will lose BIG if you continue to overtrade. Every time you enter the market, you expose your capital to the market. The more you expose your money …

Once again the forex story for today deals w/the Yen. Everything I read talks about how the Yen is under pressure now against other currencies.

What I mean to say is that with today’s big drop in Japan’s machinery orders, it’s becoming more and more clear that Japan’s rates will stay put. Japanese machinery orders came it at a shocking -16.7% while the forecast was around-7.5%. With such a negative number, the Yen dropped like a rock against both the …

If you did any trading today, then you know that I’m referring to the dollar rally that occurred. In fact this whole week, the dollar has been making gains across the board. Today was pretty interesting though because the dollar actually broke the 2700 level against the Euro. If you’ve been watching that pair, you …

From Non Farm Productivity to Unit Labor Costs to the ISM Non Manufacturing Index–we are still seeing economic indicators that hint at another possible rate hike by the Fed. All 3 reports came out higher than expected causing the dollar to rally yet again. Are you getting familiar with this scenario yet? The dollar drops …

So tropical storm Ernesto took his sweet time over us and flooded our whole area. But the flood wasn’t what bothered me. The fact that we lost power did! Consequently I couldn’t get into the market on Friday and so I took a nice 4 day weekend with Labor Day on Monday. So what’s going …

Not much to say about EUR/USD today. Don’t believe me? Open up a forex chart & you’ll notice a narrow trading range for this currency pair.

There’s not much to update about the EUR/USD since nothing has really happened today in the forex markets.

The battle rages on. Who will give the knock out punch that will send the opponent flat on its back? Who really knows? Apparently no one does right now. Todays market was a classic battle between the Euro and Dollar as neither one could be pushed towards a limit. During the EU session, the German […]

You wanted excitement? Well today was full of it 🙂 Of course, every day is exciting in the Forex for me but today makes things interesting especially for the EUR/USD. The story of the day was the ZEW. The ZEW (an economic research center) report came out with much lower numbers than expected causing the …

This week looks to be a quiet one as far as economic reports is concerned but that doesn’t mean there won’t be any excitement. The Euro has already made some moves today as it made a new 20 day high against the dollar. Today’s move was probably caused by 2 things: the first is that …

Let’s see, the University of Michigan’s Consumer Confidence report came out today at a lower than expected number at 78.7.

Well this was a really tough week as I suffered 2 major losses. I’m hoping we’ll see some big moves next week so I can make up some ground and try to end the month positive. Monday: +12 Tuesday: -63 Wednesday: No Trade Thursday: +12 Friday: -75 Total: -114 pips Total for June: -74 pips

Well unfortunately this week ended on a bad note. After the Durable Goods report, there was an Alba breakout and I entered 3 lots short at 2478 with a stop at 2500 and a target at 2466. I was stopped out on all 3 lots at 9:00 am EST. It hasn’t been a good 2 …

Today was one of those days where I wish I was trading during the EU session. What a nice move the Euro made during its session. Unfortunately the move was pretty much exhausted during the US session but we did still manage to get a small trade out of it. At 9:20 am EST there …