Euro Yen & Canadian Dollar

Charts provided by Dynamic Traders. Data provided by Esignal via Advanced GET.

Good morning everyone,

I have added two different charts above today. The first is the USDCAD pair. As you can see, the push up is just below .786 fib so this may act as a resistance. This pair still has further movement to the upside but patience is the key here. Personally I will await to see if it hits 50% or if momentum continues to push this upwards.

The second chart is the EURJPY cross. I mentioned about the support yesterday which is where it is right now. I was asked yesterday if I would look to go short if this support is breached. The answer to that is no I would not as the overall trend is up and breaking this first support level would mean I would then be going against the main trend and that would be going against my trading strategy. If momentum continued to take this downwards then I would look to get in at an appropriate point with a limit order as long as I have a confluence and other supports are broken (which would give it momentum) but I would look at all this on the larger time frames and not the shorter ones as the larger time frame always dictates. With this cross I am going to wait until the end of the day to see the candle that is produced and decide from there if I will enter.

Unfortunately I was not at home to take any advantage of yesterdays 100 pip drop on the Australian USD cross. I know at least one of you did and had entered at .786 so had been waiting a day or two for the decline which finally came yesterday from 10am GMT.

Ok, best of luck to all of you for the rest of this week. I am away until Monday so that will be when my next update will be.

EURJPY

Good morning guys,

A quick note on the EURJPY cross. That has been trending up fo a while and if you draw a trend line from the lows starting at the beginning of the year as a support/stop loss then this would be possibly worth considering a long.

Please do your own analysis and if looking to take up a position then look for a suitable entry point.

Good luck.

Canadians

Charts courtesy of DT. Data provided by Reuters Data.


Both the charts are the daily USDCAD cross. As previously mentioned everything looks nice and in place for a 4-5.

The first chart shows a bounce up to .382 before doing a continuation and the overall picture shown by the second chart shows clusters for support. If we have a daily close beyond wave 1 then this is not a wave 4 as indicated by 1.618 and will still be a continuation of 3.

I mentioned a while back about shorting the AUDUSD and those that did would have made a nice profit within three days of me stating that as it moved down a couple of hundred pips. It is now retesting the highs again. From an aggressive stance this could be a possible short.

Good luck today.

Davos

Good morning all,

I have just got back from Davos and have to say had a fantastic time. I would like to extend a warm hello to everyone I had met on the course.

A brief update today. The USDCAD is still coming down as expected and we are still awaiting either 0.382 or 0.50 for a typical support. If we get to that support with a candle reversal then an aggressive stance could be taken with a tight stop.

Hope you all have a good weekend and I will update on Monday.

EURZAR

Chart courtesy of Dynamic Traders. Data provided by Quote Center.

A friend of mine has just alerted me to this cross. Simply put, the cross is trading in a narrower range and at some point we will see a volatility breakout. I would consider putting this on to your watchlist. Thanks for that Barry. By the way, if anyone in the UK had turkey for Christmas lunch then extend a thanks to Barry as he spent nearly a month prior to Christmas catching about 400 turkeys per night. Whenever I spoke to him prior to the holidays he pretty much cut our conversations short as he told me it was turkey night.

Ok, I will not be posting again until next week on Thursday now.

Have a good week.

Support & Resistance

PP created from ESignal data. Chart courtesy of Metastock.

The first column is Euro support and resistance for the day and the second column is for the Cable.

The USDCAD is still a consideration should it hit our fibs.

EURJPY is worth a revisit from my original analysis sometime ago.

I will next update on Thursday.

Euro Dollar

Chart courtesy of DT5. Data provided by Reuters Quote Center.

As you can see the Euro has moved up nicely this morning and broken above the 13050 resistance. If you have any short orders to open below 12900 then they should be cancelled for the moment. However, right now the Euro looks like it is getting ready to produce a chart pattern reversal. Look for a candlestick and PP to confirm that for a day trade. Swing trade perspective is a bit hazy on this pair due to the range bound continuation so best to look for volatility breakouts above the high and lows on the larger time frame.

The USDCAD pair at present is still a good contender for a wave 5.

Good luck today.

Sterling Dollar

Chart courtesy of Dynamic Traders. Data provided by Esignal.

This chart is for Spikey a friend of mine who asked about todays reversal. As you can see, we had a morning reversal with a Doji at a PP and then the market had dropped the equivalent of £800 in less than 2 hours. The trade should have been taken immediately after the Doji was created so at 8.15am and not when the move down had started at 9.45am as that was just chasing the trade and although that can work, quite often you will find you end up getting the tail end of the trade and miss out on the big move itself. Stop ideally would have been placed around 19529 for the short position.

Canadian Dollar

Chart courtesy of Dynamic Trader. Data provided by Reuters Quote Center.

Good afternoon. Once again I apologise for the late post but I can tell you that I managed to recover all my files from my old battered laptop and that is now ready for the dustmen to collect on Thursday morning. Importantly I am now up and running again so the posts from now should not be so late in the future.

Ok, the chart above is the daily USDCAD pair. Last week we were just short of 1.618 for the possible wave 3. If the pair continue to move downward toward either 0.382 or 0.50 and settle there before dealing above the local high point with a volatility breakout then this could be the beginnings of a wave 5 and if that is the case you might want to consider a bullish bias for possibly some time. Idealy we would like to see a candle reversal at the fibs.

If we dont go to the fib lows but then start the uptrend again then it is likely wave 3 has not completed and we could expect to see 2.618 being pestered.

Keep a close eye on this pair. I mentioned it originally late last year at the beginngs of wave 3 and we went up about 700 pips since then. If we have a good set up on this for potentially a wave 5 or extended wave 3 then dont miss out.

Before placing this or any other trade, please ensure you do your own analysis and are happy with your decision before taking a position on the market.

Good luck.

Laptop and Euro

Sorry for the late post this morning. I dropped my laptop yesterday and now have a defective screen so have been busy copying over my files from that laptop to another. Have not completed it all as yet so not managed to take a screenshot of the Euro.

The Euro this morning produced a fib reversal and a candlestick reversal at our reversal time. We had a confluence of events and it should have been an easy decision for everyone who saw that to short the market at that point with a tight stop. For those of you that have taken the short should be smiling with a few hundred pounds profit by now. Unfortunately I was unable to trade that because of my laptop issue.

Tomorrow I will update in the morning with a chart or two for you all to have a look at.

Happy trading.

EURJPY

Good morning,

Sorry for not updating yesterday. I shall put that down to the snow.

I tried uploading a chart today but after five failed attempts I will have to just describe it to you.

A while back I mentioned look at a break above the previous high for a possible long opportunity. We got a break above the high back then but not with enough volatility and subsequently we dropped in price. The price is now reaching the recent highs again and right this very moment the daily is looking like a spinning top (ofcourse the day has not ended yet). Watch to see what happens here as we may be having a pullback and continuation going on here meaning the price could go somewhat higher.

The Euro is still in a trading range and nothing has changed with that analysis.

Hope you all have a good weekend and I will post again Monday morning.

Euro Bounce

Chart courtesy of Dynamic Trader version 5. Data provided by Quote Center.

The Euro bounced to 50% fib yesterday which has a cluster with todays PP so it may act as a resistance. Selling the rallies is still the option to use.

The daily chart is still in a bearish flag continuation and once again apart from selling the rallies, a break below 12900 with heavy volatility should be worth considering.

Please do your own analysis before placing any trades.

Good luck today.

EURUSD

A little reminder to you all to keep a lookout to see if the EURUSD breaches 12900 with volatility. If we deal below 12900 then we could see further downside but it has to be with volatility to ensure it is not a fake breakout.

Good luck today.

Next Update Tomorrow

NZDUSD

Chart courtesy of Advanced GET. Data provided by ESignal.

Since my last post when I mentioned a short possibility on the NZDUSD this pair has dropped just over 100 pips. If you shorted this then lock in some profits now. NFP is due out today so we will have massive volatility.

Good luck and have a good weekend.

NZDUSD

G'Morning,

Very brief post as it is late Wednesday night. Have a look at a potential short of the NZDUSD on the 60 minute chart. An hour or so ago it just produced a reversal candlestick. You will need to check this for yourself and determine if the downtrend is intact in the morning.

Happy trading.