Good morning All. Erol has kindly posted his video for today below. Erol is more of a fundamental trader than me, but there is little or no USA news due so he is looking at more technical possibilities. Hopefully you all managed to catch some of yesterdays moves. I had my best day in over a month & all because I had waited patiently through all the rubbish, boring choppy markets of late.
What you have to learn to do in forex is wait for price to come to you. Chasing price or placing trades just for the sake of it is the quickest way to the poor house. With the forex mentoring my followers and I set “traps” earlier in the week and waited for price to come back to use. It did yesterday with a bang on lots of pairs; cable, euro/$, aud were particularly successful with 100′s of pips gains. There were also wins on the chf, simple bounces off trend lines/support & resistance.
Earlier in the week we had lots of successful M1/Asian break out trades which has been working well lately. This is a simple technique based around the London open. Trades usually dont take long to be in profit, so you have the rest of the day to yourselves,
The Lmt: Again we have had some decent trades on 4 hour this week. The daily has become less reliable which is to be expected in choppy/ranging markets. The LMT is a useful tool that works great when markets are trending but when times are difficult you need to use lots of discretion. Especially pay attention to support & resistance, trend lines, fibs etc.
I kept my followers out of Thursday’s losing Lmt daily Euro/Yen trade. I told them: Euro/yen: DAily LMT signal tonight on all platforms. A few weeks ago I suggested a red (don’t trade), amber (possible), green (Yes) for the lmt. I would give this a weak amber light. On a positive note price bounced off the 61.8% fib on the daily chart and if it does start to move up it has a lot of room above to previous high of 138.00. On a negative note it is back at a whole cluster of emas on longer term charts that are all flat and just below the psych level of 134.00. Same as many yen pairs it does not seem able to make its mind up and is at the point of a triangle break out. If the current daily candle closes above 134.00 tonight I will take if not I will not.
We have had lots of success with pullbacks this week & the Gbp/$ is back at the 1.6600 area again as I write this. However be careful. Don’t take more than 1 pullback trade at a time today. There is little news and as yesterday was so good there is always the possibility that price may spike through these areas before resuming their trends early next week.
The Euro/Gbp for example, with which we have had great success is looking bullish on lots of time frames today. This may only be temporary and 0.900 will be difficult for it to break (personally I willl be looking for clues to short in this area, but not necessarily today). Also it is best to wait for the bits of Euro news to finish this morning and especially Mr Trichets speech at 10.30 GMT. Often there can we wild spikes and runs when he is speaking. He is an old ham & I suspect he not only loves the attention, but I am sure that sometimes he does it on purpose just because he can do it!
Check out the mentoring site, its only $29.95 a month (you can cancel at any time). We have loads of great feed back and people who have been struggling for years and in many cases spent $1000′s telll me that it is the best, no nonsense site they ever used: Forex mentor pro.com
Have a great week-end, catch you later, regards, marc
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