A Mentor-Student Conversation
With all eyes on Bernanke and the Jackson Hole speech tomorrow, I do not think its prudent to be giving any trade recommendations (or taking any new positions) till after the announcement with most traders/investors on the sidelines Thus, I wanted to do was share an email exchange I had with one of my students which I thought would be really helpful for those struggling with the learning/trading...
Read MoreForex Price Action – Silver Forms Inside Bar Near Highs | Aug. 29th
Silver As the snoozefest continues with investors pulling out prior to the Jackson Hole meeting this Friday, breakouts are an endangered species till then while small ranges are dominating. Tis no surprise that an daily inside bar formed on almost everything, but the one that is more notable is the one on Silver. Why? Well two days ago the pair formed a bearish pin bar after a 5 day climb....
Read MoreForex Price Action – Cable Forms Outside Bar Off Role Reversal Level – Aug. 28th
GBPUSD After breaking out of the summer range, the cable formed a pin bar rejection at the next resistance level and has since sold off for two days. Today it has reached the breakout level and rejected nicely off of it, confirming it as a role reversal level. It did so forming an outside bar pattern in the process, along with a decent rejection to the downside. If the breakout is to hold,...
Read More3 Keys for Identifying Breakouts
Breakouts are some of the tougher environments for traders, and understandably so because they represent potential, but often fail. I’ve already written an article for trading breakouts Post-Breakout, but what about the Pre-Breakout moments where you have to make that key decision to trade it or not? How do you identify them and what are the key elements that precede strong breakouts? This...
Read MoreForex Ichimoku – Daily Aussie Kijun-Sen Break – Aug 27th
AUDUSD Selling off 8 of the last 12 days, the Aussie has been hemmed in by the Tenkan since the 14th of this month which is quite unusual considering its been in a solid uptrend since the beginning of June. I commented about this last week on how I suggested a break below 1.0400 and the channel bottom (held in place since June) will likely break to the downside. This happened yesterday and...
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