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Slow Markets

I took some dollar short positions yesterday and at one point I was 20k in profit but by the end of the day the market reverse and erased almost all my profits. I'm still in this position but I don't think I want to stay more because during the summer trading conditions there are is not much going on in the markets.
I think I need to take profits at first level of resistance otherwise this thing will happen a lot of the times.
Best Regards,
Daytrader21
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Preparing the Week Ahead

Since we're still under summer trading condition my expectations for the coming week are for further range activity with the major currency pairs. Maybe NFP can give us a directional bias for this entire month and we can see where the USD wanna go. Even though in the long term I'm still bullish the dollar in the short-medium term I play the market both ways as so far I don't see any clear sign that the US dollar wants to resume the upward trend.
Maybe September will be the catalyst for the dolla…
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WallStreet6 avatar

You may be right with the upcoming week being slow- thanks for cooling us down:)

WallStreet6 avatar

I just can't wait to my hands on some pips:)

Berkeley avatar
Berkeley 2 8月

Good luck buddy ;)

Daytrader21 avatar

WallStreet6 keep in mind I might be wrong:)) Berkeley Nice to see you buddy, good luck to you as well

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NZD/CAD Summer Rally

NZD/CAD has the tendencies to rally during summer periods(see Figure 1) or at least to make a pause in the trend and stay inside a range. We can see that right from the first few days of Jun the market is starting to rally and more often it puts in place a major swing low. The seasonality are a strong tool to use but they never must be used alone and in combination with other technical tools, because the seasonality it only gives us the tendencies of what we should expect the marke…
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Daytrader21 avatar

Update 1: It seems that the market is having another go towards the major support level of 0.8800 which is also the bottom of current range box. As long as this level holds my forecast is still valid 

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Update 2: Due to recent RBNZ decision to cut rates the technical landscape has changed and right now with a new swing low being put in place , below 8.8600 the flow has been shifted to the downside. In order for this to regain momentum we need a close above 0.8750

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AUD/JPY Never Ending Consolidation

AUD/JPY has been trading in a narrow consolidation zone(see Figure 1) for the entire summer period. Most significant movement happened right before the summer when we had a spike lower towards the 93.00 figure and since than the consolidation zone has narrowed even further with 94.40 support zone and 96.40 resistance zone. Current projections should go as this: first we need a break and a close below 94.00 level which is the bottom of this rectangle, followed by another break towards 92.00 level…
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Update 1: It may be the case I'm wrong on this prediction as we broke the upside resistance level at 96.50 and we have retested it and got a rejection signaling buyers are in control

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AUD/CAD Summer Trading Conditions

Today I want to share a trade pattern idea that I've posted few weeks ago in the Technical Analysis Contest, you can check out that prediction here as well: AUD/CAD Summer Trading Conditions
Since beginning of the year AUD/CAD has been trading in a very consistent and clear way to the upside, without much correction along the way. I suspect this trend will enter in a prolonged pause as we're facingsummer trading condition where volatility dry out and the market is characterized by …
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VictoriaVika avatar

well done. Great work

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AUD/CAD Summer Trading Conditions

Since beginning of the year AUD/CAD has been trading in a very consistent and clear way to the upside, without much correction along the way. I suspect this trend will enter in a prolonged pause as we're facing summer trading condition where volatility dry out and the market is characterized by lots of congestion. In Figure 1 we can see how we already are approaching major resistance and how price is contained between to major levels 1.0000 big round number and also big support level and 1.0350 …
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Daytrader21 avatar

Update 2: Unfortunately we made a new swing low signaling that we may have further downside but if we can get a little momentum upside and a strong close above the psychological round number 1.0000 the bulls can feel safe. Until than next support I see is at 0.9820.

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Update 3: After the break below the  psychological round number 1.0000 we found some strength and we're now back above it with a strong close. this suggest that more strength to follow but first we need a break an close above the next round number 1.01000.

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Update 4: for the past week we further consolidate developing an H&S pattern that can been seen more clearly on the 4h chart. We have support at 1.0040 which should hold, but we also need a break 1.1000 round number and also the neck-line of the H&S pattern for more upside momentum

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Update 5: WE are only 17 pips from our target and current price structure suggest that we should expect further consolidation during the next week, between the 1.0150 resistance level and 1.0100 support level.

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Update 6: There are only left less than 24 hours until the deadline and we're only 3 pips away from our target 1.0140. Based on Elliott Wave we continue down the road on developing only 3 waves price structure as per my indications. Price should be contained in this range until the end of the week so there is a great change we'll see our target hit to the pip. We can use as reference points current day high and low as support and resistance so price should consolidate between 1.0176-1.0130, a 46 pips trading range

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