Hi, I had a few emails from inexperienced traders who took losses on Friday even though I had recommended that only experienced traders should trade due to the unpredictability & especially the impending Gbp news. This week there is a HUGE amount of news for all of the major currencies, we have 4 lots of interest rate news, gdp news, speeches, the lot!  culminating in the dreaded NFP Friday. PLEASE take note when I warn against trading. These are the kind of days when you can lose your shirt! Make doubly sure you follow the money management rules.

Any orders you decide to place based around your weekly analysis need to be cancelled/put on hold on the days that these announcements are due. ALL bets are off for me from candle close Thursday evening because its NFP Friday  (USA unemployment news).

So what happened on Friday? All the “experts” predicted that the revised British news was going to be worse than expected and therefore Britain was still in a recession & thus the Gbp would plummet. What happened? The news was better than expected but the Gbp plunged 150 pips! (remember what I have told you about experts :) they are frequently wrong).

At that point ANYTHING Gbp related was a no go for me. Why? Because the markets were behaving more illogically than normal. I have explained before that markets are driven by a combination of fundamentals, technicals & sentiment. Since January the Euro has received a severe beating. Now its the turn of the Gbp. Has the Euro situation changed? NO. If anything its likely to get worse BUT the market makers can smell blood and they will continue to try & drive the Gbp down to at least 1.500.

So as many pairs are again at extremes or major support & resistance lines then we need to look for pull-backs & try avoid reversals.

Remember to check your calendars everyday & be wary at the market open we have had lots of “gaps” recently.  Also check Bollingers at market open. Those that slam shut suggest price will reverse at least short term & those that open suggest price will move through.

M1 Just take it day by day. Probably saved you from lots of bad trades lately, but has been unreliable overall. Any gaps at market open could kill this for tomorrow.
Lmt Things are again beginning to line up for some daily signals. However we need to wait for this current choppiness to come to an end. We had quite a few decent daily trades last month that worked great but I am in “wait & see” mode for now.
Gbp/$ The sentiment at the moment is that the Gbp is going down no matter what the news. Price bounced off a previous support & daily trend line on Friday after its initial plunge. Everything still suggests it has more to fall but we need a pullback for an entry.I will be looking around 1.5360 area for possible shorts . Its a 50% fib of last weeks move and previous support, though it has to be said it is not the strongest area. There is more going on at the 1.5400 area. What I will probably do is split the trade in half. Short 50% normal stake at 1.5350 & the other half at 1.5400. Its a way of catching the trade with reduced risk on the 2nd part,
Euro/$ The Euro has taken a severe beating of late but got some breathing space towards the end of last week as attention shifted to the Gbp. There has been some talk over the weekend of France & Germany buying Greek bonds. If this is confirmed then price could gap & then shoot up tomorrow. If its denied then could go the other way. Also unemployment news tomorrow. Be careful with this pair. On the daily we have macd divergence & a 5/8 cross forming which suggests price reversal as does the weekly pin bar candle. 1.3740 could be the area to consider a short ( I would stake no more than 50%). If it goes straight through here would need to consider a long here Tuesday. VERY MIXED
Chf/$ Opposite of the Euro as is to be expected. Is bouncing between 1.06420 & 1.0860. Looking for possible longs/shorts in these areas. If price does finally break through then looking for pullbacks on 4 hour charts or Tuesday daily
$/Yen Big engulfing candle on last weeks weekly chart suggest price is going to  go back down. 90.00 has been extremely strong support & resistance. Ideally looking for pullback to here with a view to short. Possibly as far back as 90.30 again which is 50% of last weeks move & daily 34/55ema ie multiple reasons.

The above is a selection from the analysis that I do on up to 10 pairs on a DAILY basis on the low cost forex mentoring program that I run. Current price (locked in for the life of your membership) is only $29.95. This will be raised to $49.95 on the 30th march. We have a 5* rating on forex peacearmy & you can cancel at any time if you so wish. This is the most recent peacearmy review that we received:

Emmanuel, Versailles, France
Rating:5*
Date of Post: 2010-02-25

Review: Very clear mentor and a very honest person, which is pretty rare in the delightful world of Forex (so many crooks, lousy traders that make money on the naivety of newbies, and wrong advices) ! A few bucks for lots of pips, just subscribe and enjoy !

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Here is this week video analysis. To view full screen, click on the You Tube icon bottom right hand corner. PLEASE leave a star rating/comment on you tube, best of luck to all, regards, marc

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