GBPCHF is forming a symmetrical triangle in hourly chart as of Nov, 24th, 2009, 2 AM. Since the trend is downwards if it breaks downwars with a strong bearish candlestick then I would like to enter the short trade. What do you guys think of this trade? Check the picture.
The above is a GBPCHF hourly graph forming a symmetrical triangle
The folloiwng is the USDJPY hourly chart as of NOV 23rd, 12 AM EST, 2009. The USDJPY is moving in trend lines. The London market start at 3 AM EST. I am thinking it will break down the bottom trend line as the trend is currently down. Once the London market starts it will continue the downtrend. Check the following picture.
USDJPY currency pair moving in trend lines
MACD divergence is a very good technique the gives profits most of the times than any other techniques I observed. The following is one the trade I took on AUDNZD based on the MACD divergence. If you want to learn more about the MACD divergence check my article at http://www.forexbees.com/content/macd-divergence-trading-very-powerful-forex-trading-technique. The following the AUDNZD hourly chart. I am using MACD indicator below that. If you observe the graph, the hourly graph is showing higher highs but if you observe the MACD it is showing lower highes. It is indicated by the trend lines. If you observe the trade at the highest point it formed a very good candlestick with a long tail and short body. After this a strong bearish candlestick is formed. I entered the trade immediately. This is a good trade. Check the following picture.
Entered the trade when the candlestick with long tail and small body after that a bearish engulfing candlestick is formed.
As explained int he forum post http://www.forexbees.com/forex-forums/looks-euraud-head-and-shoulders-forming the EURAUD currency pair broken the neck line of the head and shoulders formation a few hours ago but I could not taken trade as I was in bed. I waited for the trade to retrace back to the alligator and now it formed the bearish engulfing candlesticks at the alligator and after the completion of the bearish candlestick I entered a short trade. There is no strong support line also anywhere on the bottom. It should follow a downtrend I am thinking. I used a stop loss of 15 pips above the candlesticks as you see in the picture. I will update about this trade in the comments section whenever I close it or whenever it hits the stoploss. The following is the screenshot.
EURAUD short trade
EURAUD broke the neck line of the head and shoulders format and I entered a short trade whenever it retraced back to the alligator and a strong bearish engulfing candlesticks are formed.
The following is the EURNZD hourly graph as of NOV 23, 4AM EST. The trend line that is drawn is broken with strong bearish candlesticks. So I am entering a short trade. I will update the reusults in the comments.
EURNZD currency pair is sold as it broke the trend line
The following is the GBPCAD hourly graph. The trend line was broken a few hours ago and it retraced back. Eventhough it did not touch the trend line a strong bearish candlestick is formed. Its an alligator and candlesticks technique. Moreover there is no strong resistance lines anywhere at the bottom for this currency pair. So entered a sell trade. I will update the results in the comments tomorrow.
GBPCAD currency pair is sold as the trendline was broken earlier and now a strong bearish candlestick is formed
The following is the EURUSD hourly graph. It is with in the trend lines for some time but today Nov. 23rd 3AM EST, after the london market started its started breaking the trend line with strong bullish candlesticks. So I am entering a long trade for this currency pair with stop loss below the trend line. I will update about this trade in the comments section.
EURUSD currency pair is bought as the resistance line is broken with a strong bullish candlestick
The following is the USDCHF hourly graph. It is with in the trend lines for some time but today Nov. 23rd 3AM EST, after the london market started its started breaking the trend line with strong bearish candlesticks. So I am entering a short trade for this currency pair with stop loss above the trend line. I will update about this trade in the
comments section.
USDCHF currency pair is sold as it broke the bottom resistance line with strong bearish candlesticks
The following is the EURAUD hourly chart as of Nov. 23rd, 2 AM EST time, 2009. If you observe this it is forming a head and shoulders. If a strong bearish candlestick forms breaking the support line, I thing this is a good entry for a short trade. what do you say?
EURAUD currency pair forming head and shoulders
Head and shoulders technique is one of the technique used by many forex traders. Generally they form on a particular line which we may say as a support line or resistance line. After the second shoulder is formed once the support or resistance line is broken then traders enter in the direction of break out.
Head and shoulders Patterns for Currency trading
When the break out happens generally traders look for strong candlesticks. Strong candlesticks means candlesticks with large bodies and not large tails.
The strategy is very simple and works very well. You can find a lot of trading opportunities using this strategy. This strategy involves only parabolic SAR indicator with default settings. Indicators: Parabolic SAR with default settings (Step: 0.02, Maximum: 0.2) Time Frame: Hourly But you need to observe the parabolic SAR on the higher time frame of daily chart. Markets Sessions … [Read More...]
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