Although too many short positions were opened in the area of 1.9630, we witnessed a sudden increase of the market on Friday. Next week we are going to understand if those short positions were opened for some cash for a new up movement or are they really shorts for a down.
With long positions starting around 1.9560-1.9580 in the early mornings of friday, triggered a boost and and that boost continued yesterday's costs from 1.9670s. With all those longs we tested 1.9800. But we can easily conclude that correction of this boost will likely to happen very soon. The most important point in here is 1.9780. Under that point correction is possible.
However we are in a short time GBP rally we should work our stops over 1.9800. Because traders performed this boost by replying all sales from last 2 weeks strongest resistance 1.9720.
Just to be sure, the information you have provided is for long positions, correct?
Also, can you show the cost analysis of other pairs such as USD/JPY and EUR/USD?
Ignored
No, They are general positions. We can determine if it is a short or long by answering the question that are the positions at the bottom or at the top. This system conforms with trend in 75 percent. The 25 percent rest brings a rally behind it. For ex. 1.9670 was a risky cost point but over that point we witnessed a sudden boost like 130 pips.
we have this information in four major currency pairs. we planned to give them in some time.
This is the cost analysis of this week until today.
We could not stand over the point 1.9780 at which most short positions were opened. In this case we can expect a fall to 1.9700s at which least positions were opened. contrary to this, we should take the possibility of a rally into consideration if we pass over 1.9780 and we should stop our short positions in right place.
Before Non-Farm Payroll datas, costs are happening above generally. After the announcement we can expect a fall. But it is reasonable to wait for tomorrow's cost analysis for the last strategy.
We have seen a fall as we foresee at the start of the week to the point 1.9700 which was the lowest point for the costs. And as we expected again there have been new costs around here. Since we are now under 1.9750 traders should keep their short positions. But after tomorrow's Non-Farm Payroll if we go up 1.9780, we will change our positions to long with small stops for the possibility of a rally. But as long as we wont see that point, falls will speed up.
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Joined Jun 2006
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Status: Trader and Programmer
|393 Posts
thanks for the chart. Do you think there's a way to get these charts in the net? Or do you plan on publishing them on a website? I think you mentioned sth. like that, right?
thanks for the chart. Do you think there's a way to get these charts in the net? Or do you plan on publishing them on a website? I think you mentioned sth. like that, right?
Ignored
These are the volumes of futures and their changed values to spot prices.real prices are formed in this market. Generally this kind of programs are randomly used so I dont know where you can find them. I dont plan to do but some other traders are working on this subject. So there can be a web site regarding this system.
We have already estimated last week that there would be a fall since there had been many short positions around 1.9750.We have seen a 120 pips fall. 2 weeks ago we saw many shorts and we had seen again another 120 pips fall. Only on Friday March 30, there had been too many closed short positions at 1.9560 and with that money we moved over the critical point 1.9730 which we had mentioned several times and moved over up to 1.9820. But that up-move was not sufficient enough for a better high. We will start this week slightly over 1.9630 which is an important cost level. With new costs we will determine our new strategy in following hours.
Since Europe market is closed today, we did not see much volume. With short positions starting from 1.9640 we went down to 1.9590s and with the closed positions in here we tried to stay strong. As long as we stay over 1.9580, we can go up 1.9630s but hourly closes under 1.9580, market may speed up for a new down.
