Euro

I thought I would post the chart of Euro. Perfect setup from Dynamic Trading approach. This set up is shown in the 40 hour course. Based on that, those of you who have traded should have made a nice profit this morning. Alternative view of this as my friend Rohan mentions (but does not give an accurate entry signal) is big move, small pause, big move. As you can see from the chart above this is exactly what has happened.

Good weekend all.

Sell the Rallies

Remember to sell the rallies. The Euro dropped yesterday just below 0.786 fib. If you had sold then you have made a good profit.
The Yen had also dropped only to climb back up again so if you had taken profit at exactly 0.382 fib you should will not doubt be having a good weekend. Take a fib reversal on the Yen and look for a short with minimum risk level based on stop just above 100%.

Im away until Tuesday now but will try to post for Monday.

Have a good weekend.

Yen up Overnight

Yen continued in strength overnight despite reversal formations. However, it has produced a double top this morning. I would normally say short now but both Presidents are speaking today & volatility will be high so unless you are a risk taker (although risk is limited as stop should be just above previous top) stand aside until the volatility has calmed down later today.

Have a good day.

Yen Chart 2

Here is a daily chart of the Yen. Based on history, you can see how accurate fib time has been. The high of December 5th 2005 and the low of May 18th 2006 has projected the high (0.382), low (0.50) and high (0.618) very accurately. The recent high of 0.618 fib time is the 26th August & possibly a wave 2 or B.

Please do your own analysis before taking on this or any other trade.

Good luck and good night.

Euro & Yen

Above is the Yen chart and as you can see we have a tweezer formed and currently what looks like a formation of a spinning top (but wait until the hour is up and check that again). The DTosc also looks overbought and we are also hitting a the top end of the trend line (not shown on chart above but check that on weekly chart drawing a line down fron the top of Feb 1st 2002 and the top of Dec 9th 2005). In addition to that we are at a fiib reversal.
The analysis shows shorting opportunity on Yen but to be sure maybe waiting for the DTosc indicator crossover (34) to occur would be safer bet but you decide. Stop shoud be couple of ticks above recent swing high providing only limited risk.

The Euro is just bobbing along without any real direction as everything is pending what President Trichet has to say tomorrow. After he has spoken, later in the day we have President Bernanke speaking so expect huge volatility tomorrow.

Stand aside (unless already in a trade) and wait for direction to take place before committing to a position.

Good luck tomorrow.

Dollar Down Yesterday

After most of the day with the Euro sailing down & the Dollar heading up yesterday, the minutes pushed the Dollar down in the evening. The Euro at present is range bound and has not produced anything for us to get a new confirmation of direction which still suggests the Euro is heading down.
Unfortunately my sell stop was not triggered and missed out on the move down (remember sell the rallies?).

If unsure of what the Euro is doing (which most people are as the unfolding waves are complex) then stand aside and wait patiently for a sell signal. Use fib and swing lows to evaluate appropriate entry points based on a 60 minute chart.

I will not have time to post in the morning tomorrow so I will try to post this evening with a chart.

My opinion is over all the Euro will still be heading downwards be it with some bounces on the way.

Good luck.

Euro Bounces

Good morning all,

The Euro has done a bounce. The 0.786 fib is at approximately 12900 and we could possibly see a bounce to 12916 if the uptrend continues. The DT Osc shows a bullish signal at present but unless we surpass the 12980 we will return to our downward movement. I have a sell order to open around the fib retracement area with stop above 12980.
Please do your own analysis and if you are unsure then the best thing to do is stand aside and wait until you feel more comfortable to short the Euro.

No chart attached as outlook has not changed.

I will be divulging some very important news within the next week. Awaiting US Govt approval.

Best of luck.

Bank Holiday

Normally we don't get too much activity during the bank holiday in the UK so I will not be trading or posting any analysis today.

We have currently started to see a bounce up on the Euro but this is most likely due to institutions not playing any major part in the market.
Even if the Euro zone continues to bid up, don't be fooled until or if we deal above 12980.

Enjoy your bank holiday. Weather looks great for the ducks!