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Little bit late.. i think

Very late, but it also didn't reach for that liquidity. Ended up as a loser, I let it run without monitoring due to other engagements. It went 1:1 RR, and I did not trail my stop. Stuff happen... However markets are in a bit of a sideways trend between all the expected data - FOMC, NFP, French elections. The water is not ideal for fishing

Below is a chart of my reevaluation of the trade - I like to revise trades and ask myself "what went wrong?"

It reached for the first level of liquidity, but then followed up by heading up and taking out liquidity above 1.0925 highs. After taking out those highs, price managed to simply correct lower, forming a higher low. I'm flat for now, see where it gets.

At the same time, if we look at a slightly bigger picture, 1.0885 has been an interesting level with 4 reactions to the level in the last 7 trade days - 3 times it gave support, once it was a resistance price quickly overcame soon after.

The USDx chart gives a small resistance level over at 99.20 and a much more important level at 99.30.

I'd say either FOMC or NFP give USD the boost it needs to either break above 99.30 and whipsaw back below 98.50 or withhold the rally and fill in the gap. It is also important to note how the euro, being the largest weight in the index basket, behaves right after the french presidential election.

The second chart represents liquidity.

Excellent thread.

+50

Fading the V shape brought me +30

I have been watching EJ set up for 2 days but ended up missing the ride. Twice. Arrows show where I would have entered had I paid closer attention...

We are still in a down trend, i saw we have room to go down and sold

How's it going, traders? Hope you had a good week. Building up equity slowly but surely..

Since it's the weekend, why don't we do a recap of last week's trading? I'm open to any questions about setups you took but didn't work out, or worked out... basically any comments on last week's trading

Hi, can you to share your ptotrade EA.? thx in advance

Hey guys.

New trade week, new setups! Let's see what we can look forward to... Starting at our trusty USDx chart.

Now the dollar has been making lower lows and lower highs. It dipped below our listed level (@ 98.90) just slightly, and pulled back to 99.80ish. It then began a new wave down, which we're currently in. Now the way I see it, things might turn bullish real quick if we're not careful, but no sooner than 98.75 (demand). I'd say this week might see some reversal midway in. If it doesn't however, it has a long way to drop until our next DZ over @ 97.20ish.

Now I'm typing this as I go with my monday morning analysis, so no jumping to conclusions just yet - we have yet to check out our majors Remember, start at a USDx chart, work our way to Fiber/Cable/yen and cad.

Hi WDays always thanks for you advice and post. I have a question. Sometimes usdjpy don't follow USDX, why it happened so how can we predict it?

EURUSD

Up next, Fiber. Now Fiber is setting up higher highs/higher lows. We have a MS shift with our LT low @ 1.0340-60 roughly as shown by the arrows. What followed was a failure to go higher high just yet, but after price retraced down and formed a higher low, the next wave up took the high. Pullback ensued, another higher low and up to a higher high.

Now I was expecting this gap to fill before more upside, but french elections drove EU high and fast, reaching 1.1014 - our Fib level. Apart from that, nothing is holding it; our previous support-turned-resistance level over at 1.0970 was pierced to the upside, and we have a SZ waiting at the 78.6% fib retracement @ 1.1095. This looks like my weekly target for Fiber, for now... But what with USDx setting up for just a slight move downwards, I will be careful going long past 1.1015.

Not forgetting there is a gap between 1.0780-1.0820, waiting to be filled, I will approach this week's trading with a slightly bullish bias on Fiber.

The USDx is a weighed index, consisting of 6 major world currencies - eur, jpy, sek, cad, gbp, chf.

In terms of volumes traded, the euro trumps all others, thus forming a weight of 58% in the index. JPY is second, with just 14%. So you see, the index will show a much stronger negative correlation with the euro than it will with the yen.

Nonetheless, it is important to note USDx direction when trading other pairs too, but also pay attention to any jpy (or other for that matter) drivers.

You can read up on it here:
http://www.investopedia.com/terms/u/usdx.asp

GBPUSD

Now Cable isn't a pair I'm very fond of trading ever since the Brexit referendum, so I haven't really touched it much the past months. What's more it has been in a sideways consolidation range post-Brexit, for the longest time. Recently, though it broke out of that range and began consolidating above 1.2870. It is still not dynamic at all except for some short-lived momentum every now and again.

To me, it's politics dictating the pace in this pair. For instance, I believe the June 9 elections are a chance for brits to "correct" themselves and vote against Brexit, by not reelecting May. I believe the rally above 1.2870 is related to just that. If the rally firms, it may well go anywhere from 1.3310 (SZ) to 1.3450 (roughly the cap of the summer consolidation last year).

I can't really place the dollar in this particular analysis, since it is not the driver, fueling any of the moves currently. Cable has enough on its hands already for the aforementioned reasons.

Technically speaking, a dip to 1.2640 may not be entirely out of the question. However, I expect this week to be relatively quiet despite CPI, claimant count and other GBP news, and prices should stick to ranges.

USDCAD

Cad is a pair I reaaaally like due to its dynamics and respect of technical levels in intraday trade. Now something to keep in mind is that CAD is very related to Oil prices... Which have been in a decline for the past month (attached below is a US oil chart for you to see). This brought cad down relative the US dollar, leaving a lot of liquidity void to be filled in the upcoming trading weeks. What's more, Oil is now moving up.

We have a couple of resistance-turned-support levels, the first one holding at 1.3570; followed by 1.3500; followed by 1.3440. Last, but not least, we have a DZ down at 1.3325.

This week's trading started with a large bearish candle coming down from what seems to be a short consolidation range from almost 1.38 to current price levels. CAD has upcoming data this thursday, which could mean an acceleration of the decline in USDCAD. Until then, in conjunction with my USDx analysis, I'd say it's safe to short at least until 1.3570.

USDJPY

Now UJ is currently reacting on geopolitical reasons driving risk appetite. Whenever there is uncertainty in the USA, UJ plummets. Whenever investors are reassured, UJ flies high. It's hard for me to present technical reasons for its rallies or declines since it stopped mid-air after falling to 108.30 in April.

One could argue it consolidated over and under 50% of the entire range (large scale one), or it's the tiny support from Nov last year barely halting the decline. Either way, upside was halted by a SZ @ 114.40, we could still make it to 115.30 though.

Great...I'm new to Forex & CFD...Learning it now......Thanx

You're welcome. What you're reading above your post is how I go about my trading week every time. This is the preparation needed to be efficient in your trading. I don't generally trade on mondays, I've got tue-wed-thurs for that