Great thread, Much better than the EU$ thread. Good rules too. To much nonsense and gambling and very little learning there.
Here's what I see as a supply and demand trader.
Weekly, this lady has smashed through a small demand level at the 3430 - 3680 range, which was also the 50% fib, and looks headed for the stronger 2580 - 2910 demand level where we had a test of this level once before that barely got into this level before bouncing straight out of it. This level also falls between the 61.8 (1.3047) and 78.6 fib levels.
The 2910 also looks very important as a support and resistance level that has been tough to crack for many years and a pivot low for a 1900 pip rally last time here.
Coincidently it's also right around a big round number which will be pychologically important.. 1.3000
While I trade supply and demand, I understand others trade support and resistance, fibs levels, round numbers, pivots etc... so I keep in mind what other methods are hugely popular with traders and when they all line up together it can make for some very profitable low risk trades.
I like to go into smaller time frames like the 15 and 30 minute charts to narrow down the zones of my entries so I can put on bigger position size with less risk in pips while still only risking the same percent of my account capitol so drilling down into smaller timeframes I see a few low risk high potential reward supply (resistance) levels I'd like to try to sell any rally for a push down toward around 1.3050 on the 30 minute. Starting with the 1.3448 with a handfull of pips just above the 1.3663 high.
Keep a sharp eye on the news and economic calender this week especially anything about the PIIGS and the non farm payroll on friday. There is a ton of medium and high impact economic reports and speakers lined up for the week.
Short term traders and scalpers need to also keep in mind it's a bank holiday in Australia today so the early asian session may have some thin choppy trading. Right now I am sitting on my hands with this gap.
Enjoy. Keep your loses small and let your profits run.
Mike
Here's what I see as a supply and demand trader.
Weekly, this lady has smashed through a small demand level at the 3430 - 3680 range, which was also the 50% fib, and looks headed for the stronger 2580 - 2910 demand level where we had a test of this level once before that barely got into this level before bouncing straight out of it. This level also falls between the 61.8 (1.3047) and 78.6 fib levels.
The 2910 also looks very important as a support and resistance level that has been tough to crack for many years and a pivot low for a 1900 pip rally last time here.
Coincidently it's also right around a big round number which will be pychologically important.. 1.3000
While I trade supply and demand, I understand others trade support and resistance, fibs levels, round numbers, pivots etc... so I keep in mind what other methods are hugely popular with traders and when they all line up together it can make for some very profitable low risk trades.
I like to go into smaller time frames like the 15 and 30 minute charts to narrow down the zones of my entries so I can put on bigger position size with less risk in pips while still only risking the same percent of my account capitol so drilling down into smaller timeframes I see a few low risk high potential reward supply (resistance) levels I'd like to try to sell any rally for a push down toward around 1.3050 on the 30 minute. Starting with the 1.3448 with a handfull of pips just above the 1.3663 high.
Keep a sharp eye on the news and economic calender this week especially anything about the PIIGS and the non farm payroll on friday. There is a ton of medium and high impact economic reports and speakers lined up for the week.
Short term traders and scalpers need to also keep in mind it's a bank holiday in Australia today so the early asian session may have some thin choppy trading. Right now I am sitting on my hands with this gap.
Enjoy. Keep your loses small and let your profits run.
Mike
I don't care which way the market is going as long as it's going my way