Daily GBP/JPY analysis

Wise man #3 just appeared. With the 1200 GMT candle closing on a weekly pivot point, I see GBP/JPY going farther north. The AO is showing signs og a saucer formation (up). I'm setting a buy stop at 133.68 (the up fractal), stop loss at the bottom of the up fractal candle 133.27. 40 pip trailing stop.

Wise man #3 was just nullified! Thank god for buy stops! There must be some heavy resistance around the 133.66 mark huh?

Damn! I should have followed through with that double top..price is crumbling right now!

I am checking out for the day. if anyone is interested, the EUR/USD 30m chart is setting up a twin peak trade and wide angulation trade, in the next hour or so. Sell stop at 1.2630!

i'll read what you said....i like this playing detective with oscillators....discovery's are there....like that early session mainly new york and london, the oscillators speak scalping! how cool is that

ps....that 2630 level on the euro just happens to match my buddy's number for a top(ian copsey)

I scalped 60 pips from that trade (30 on interbank and 30 on Oanda)! The AO works great on lower time frames for scalping, but if you can get in on an angulation trade from a daily chart, it's usually good for between 200 - 800 pips! In Bill Williams book, trading chaos, when he covers the section on the AO, he says if you can master the AO, you make 6 figures a year trading that indicator only!

Anybody have any predictions for the GBP/JPY for today....it's sideways again. The hourly just gave a divergent bullish candle, but it is really close to the alligators mouth (too close to consider a long), AO is beginning to form a small twin peak for a northerly move, but AO is too small for my taste! I HATE low news days...no Chaos to feed the alligator! Anyone?

i'll wait and see this action due to the iran build up affecting global basics. i'm reading that info you gave me...and i'll definately go after the AO.....if he says that about it, i want in on it!! that's why they named it that, huh!

Yeah..it's pretty awesome! I'm watching a move right now that I wasn't around for, a twin peak on the hourly AO matched with great angulation...just crossed over the 120 pip point...nice little wave going on there! Wouldn't ya know that once I left my desk for a few hours volatility kicks up a notch and I miss a golden opportunity to take a ride on the Bull Train!

lately we take profit at noon in new york, then set a re-entry order just past that tp....above it

To validate further Bill Williams study of angulation and price as it moves away from the alligator mouth. On the 21st of June there was a bearish divergent candle and strong angulation away from the alligators mouth. The down turn resulted in a 464 pip slide. Turn the clock forward to the 1st of July. Almost the identical setup, going the other way, bullish divergent candle. Not as clean of a move, on the 6th of July the stop loss was missed by 11 pips, then 2 days of sideways trading, and BAM....the Bull Train rocketed out of her slumber! Keep an eye on this one. Not trying to beat a dead horse here but I cant relay to you enough, you must get Bill Williams Book "Trading Chaos" second edition, flip straight to chapter 7 and start absorbing: The awesome oscillator, the alligator, the 3 wise men and most importantly Angulation. I started using these principles 4 months ago and have tripled my account balance and netted right at 2,600 pips. Buy the book, consider the $50.00 price tag as an investment into your quality of life! Great stuff! Enjoy your PIPS !

Favourably, I'm looking for a bearish trend to be perform later either to complete a "double bottom" scenario refering to the alt count in white or wave 5 in magenta. Otherwise, we may see a bullish trend perhaps to complete corrective wave c in yellow. Good lucks.

Good to see your analysis again! Welcome back!

In the 1 HR charts a see a head and sholders formation /... Where the neck was broken i think we are going bearish for a today ????

cool.....cool
you stayed gone too long!

A breakout from the triangle is still remain to be seen to determine which alt counts that is more in favour. Preferably, I'm looking towards an opportunity for a breakout to the downside. Good luck.

p/s - sry for the holidays (WC 2010).

Gbp vs Jpy (4H) - I believed market just performed a "bull trap" scenario (false breakout) and looking forward for a 'pullback" to the downside. Otherwise, please be careful for any breakout towards the magenta critical line.

Aud vs Usd (Daily) - Preferably, I believed market in progress to perform a major corrective wave C either in magenta or white. Therefore, advisable to look for any good opportunity towards a bearish entry either refering to the alt count in magenta or white from BSTS later.

Usd vs Cad (Daily) - Favourably, I believed market will perform a bullish reversal trend scenario to complete 5 bullish wave structures either in yellow or white.Otherwise, please be careful for any breakout towards the yellow or white critical line. Good luck.

Tuesday, July 13, 2010 21:01:43
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- Notes there is a strong possibility that housing prices may continue to fall for the next years.

Gbp vs Jpy (4H) - Preferably, I'm looking for another bearish continuation trend perhaps until the lower red trendline before expecting for any retracement trend to bolster towards the alt counts either in white or magenta scenario. Otherwise, please be careful for any bullish continuaiton trend scenario.

Gbp vs Usd (Daily) - Favourably, I believed market will perform a "pullback" scenario either to perform corrective wave b in white or wave 5 in magenta. Otherwise, please be careful for any breakout towards the upper green trendline. But, please be careful for any 'bull trap" or false breakout scenario. Good luck.

Thanks Jebatfx and it's good to see you back. In line with my principle of keeping things simple I note that this pair has been ranging nicely for the last 33 days or just over a month and a half. The range is approximately 135.50 to 132. Whilst writing the price is hovering at around 134.50, close to the bottom of a not very exciting looking pin bar. So I'll be taking a short when this pin bar breaks downwards. I already have a couple of little shorts from the upper reaches but they were very speculative. The RSI indicator agrees with this analysis.
This is not one of my favourite pairs at the moment, EUR/JPY is. Why? I'm bearish EUR/GBP.