Archive For "February, 2009"

2-27-09

5:56a GMT – I continued to take 50 pip profits off of yesterday’s 1.2695 buy signal, continued from the previous day, and Friday will be more of the same. The support has held strong this past week. Technically more mixed signals are starting to develop with the RSI somewhere in the middle. We’ve had lower highs the past few days but support has prevented any lower lows. This has formed a triangle consolidation pattern on the chart (see yellow resistance line below). I will use a tighter stop on this next trade as any break from the consolidation pattern is likely to be a larger move.

Trading Idea: prefer longs in the 1.2695 area with tight stops. Targets at 1.2775 and 1.2850.

(click to enlarge)
 

Click here to receive my free forex signals via email
Click here for more info on how to use my free forex signals
Click here to learn how much you can earn with our Forex Income Calculator
Discuss this signal with me and fellow traders at the new Forex Discussion Groups

2-26-09

2:26a GMT – We caught a few 60 and 40 pip bounces off of our 1.2695 support from yesterday though so far the EUR/USD has been unable to keep the rally going which makes the long less appealling. However, the support at 1.2695 is still strong and as long as that holds I am either bullish or looking for a range trade.

Trading Idea: Still looking for long positions at 1.2695 support. Long targets at 1.2760 and 1.2845.

(click to enlarge)
 

Click here to receive my free forex signals via email
Click here for more info on how to use my free forex signals
Click here to learn how much you can earn with our Forex Income Calculator
Discuss this signal with me and fellow traders at the new Forex Discussion Groups

2-25-09

4:16a GMT – We saw a 200 pip rise yesterday and I am continuing to buy dips on long signals. For the past week now the pair has made higher highs and lower lows and we might finally have solid support in place around 1.2400. The market in general is still hectic and looking for direction. US banks, according to multiple sources, have very troubled times ahead and possible nationalization by the US government. Coupled with the multiple bailouts and a weak US dollar appears to be on the horizon. Of course, that hinges on the news out of Europe and what they will do to shore up there banking system. In the short term, however, I am still betting against the dollar and going long on the Euro.

Trading Idea: looking to buy near support, with nearest level at 1.2695. Long targets at 1.2775, 1.2875 and 1.2930. If a sustained break of 1.2695 is made look for 1.2635 and 1.2575.

(click to enlarge)

Click here to receive my free forex signals via email
Click here for more info on how to use my free forex signals
Click here to learn how much you can earn with our Forex Income Calculator
Discuss this signal with me and fellow traders at the new Forex Discussion Groups

2-24-09

5:26a GMT – Yesterday reminded us of the importance of confirming trades with candlestick signals! No trade was entered because no bullish reversal signal was given on any timeframe than 1 hour or greater. In times of market uncertainty it is more important than ever to confirm trades with a reliable indicator such as candlesticks. And, as always, good money management is a must, because then a few losses aren’t a bad thing: they are planned and accounted for :). For more info and trading tips click “forex training” on the left.

Alright, enough of that! Yesterday we saw the dollar make significant gains back against the Euro. I am still looking for buying opportunities however in this mixed market I know traders are making good pips off short positions as well. I will stick with my strategy of buying dips for the time being as key resistance was broken at the end of last week.

Trading Idea: buying near support, with closest support between 1.2630 and 1.2600. Longs preferred in this zone preferred back up to 1.2700, 1.2815 and 1.2900. Candlestick signals to confirm the trade are essential in this market.

(click to enlarge)
 

Click here to receive my free forex signals via email
Click here for more info on how to use my free forex signals
Click here to learn how much you can earn with our Forex Income Calculator
Discuss this signal with me and fellow traders at the new Forex Discussion Groups

2-23-09

3:16a GMT – Big change last week as the EUR/USD sprang for a 300 pip gain on Friday, which now makes the technicals look bullish. I said last week that a sustained break of 1.2750 would be needed for me to go bullish, and we got that last Friday. Hourlies are overbought and I know some aggressive traders are looking to sell in the short-term. I am looking to buy dips though near support levels.

Trading Idea: We have strong support at 1.2750 and that is the first level I will be looking to buy on bullish candlestick signals. The 4-hour charts have been producing some reliable doji signals the past 48 hours I will be very alert if any doji reversals pop up. Longs favored back up to 1.2855 and 1.2950.

(click to enlarge)

Click here to receive my free forex signals via email
Click here for more info on how to use my free forex signals
Click here to learn how much you can earn with our Forex Income Calculator
Discuss this signal with me and fellow traders at the new Forex Discussion Groups

2-20-09

5:27a GMT – Pair climbed up to 1.2745, my original resistance earlier in the week before taking a 200 pip tumble back down to 1.2580. Bulls were able to rally the pair today but were not able to break any significant resistance or sustain the rally for the entire day, so the mid-term signals are still bearish. If you caught the pair on the way down (as I always recommend) at yesterday’s signal level then you are 60+ pips in the profit right now.

Trading Idea: If you are looking to reset shorts look to sell rallies near resistance. Nearest resistance is 1.2645, 1.2700 and 1.2745. Selling a failure on any of those levels is a higher probability trade. Shorts favored back down to 1.2600 and 1.2555.

(click to enlarge)

Click here to receive my free forex signals via email
Click here for more info on how to use my free forex signals
Click here to learn how much you can earn with our Forex Income Calculator
Discuss this signal with me and fellow traders at the new Forex Discussion Groups

2-19-09

5:26a GMT – EUR/USD tread water yesterday, pushing downward a little bit but for the most part not making significant movement any way. Bears won out in the end, with the bulls unable to push above any significant resistance levels. This mimics, for the most part, the action in the US stocks yesterday where we saw the stock prices generally hover at the same levels. Moving forward I am still looking to sell as the pair continues to make lower lows and lower highs.

Trading Idea: Selling resistance, most recently at 1.2645, is my plan. Look for the bearish candlestick signals to confirm the trade, with shorts preferred down to 1.2580, 1.2515 and 1.2475.

(click to enlarge)

Click here to receive my free forex signals via email
Click here for more info on how to use my free forex signals
Click here to learn how much you can earn with our Forex Income Calculator
Discuss this signal with me and fellow traders at the new Forex Discussion Groups

2-18-09

5:26a GMT – Bearish trend continued yesterday with another 150 pip drop to a 2009 low of 1.2560. While I am still bearish on the pair there are a few bullish signals on the 4-hour chart that would give me pause. Mainly, the pair is very oversold right now. The RSI is hovering just above 30 and there is a bullish divergence on the RSI chart. That being said there is always an extreme RSI when there is a strong trend, so I don’t put too mch weight on that alone. But I will play it safe and look for rallies to sell and bearish candlestick signals to enter short.

Trading Idea: looking to sell rallies near resistance, most notably between 1.2660 and 1.2700. Short targets preferred down to 1.2585 and 1.2475. If a sustained break of 1.2700 is made look for a challenge of 1.2800.

(click to enlarge)
 

Click here to receive my free forex signals via email
Click here for more info on how to use my free forex signals
Click here to learn how much you can earn with our Forex Income Calculator
Discuss this signal with me and fellow traders at the new Forex Discussion Groups

2-17-09

5:26a GMT – I hope everyone enjoyed yesterday’s bank holiday! Back to trading! Big news for us signal traders is that the EUR/USD made a sustained break of 1.2700, re-confirming the downtrend and giving us a short outlook in the near future. This was couple with a 70-pip bearish gap yesterday. We had previously been looking for range trades between 1.2700 and 1.3000 – and made good pips doing it.

Trading Idea: Will look to sell former support levels, most notably at 1.2750. Fairly tight stops with an eye on US stocks as the open and provide some direction. Shorts favored down to 1.2665, 1.2575 and eventually 1.2485.

(click to enlarge)

Click here to receive my free forex signals via email
Click here for more info on how to use my free forex signals
Click here to learn how much you can earn with our Forex Income Calculator
Discuss this signal with me and fellow traders at the new Forex Discussion Groups

2-13-09

5:26a GMT – We’ve made some good pips off of the range this weekas the pair bounced around amid general market confusion. When their seems to be an even split in the market about what is happening or which direction a currency is going I prefer to look for ranges to trade. Yesterday we saw the pair bounce hard off of support above 1.2700 and rise 200 pips to 1.2940.

Trading Idea: I’m looking for a short trade in the early morning around resistance. Will look for bearish candlestick signals to confirm trade, but nearest resistance is at 1.2950, 1.2995 and 1.3085. Short targets back down to 1.2750.

(click to enlarge)
 

Click here to receive my free forex signals via email
Click here for more info on how to use my free forex signals
Click here to learn how much you can earn with our Forex Income Calculator
Discuss this signal with me and fellow traders at the new Forex Discussion Groups