Nikkei Suffers 9% Drop – More Downside or Liquidity Vacuum? May 23rd
Nikkei 225 – 1500 point drop followed by small recovery Yesterday the Nikkei 225 suffered one of its biggest % drops in a year, shedding over 1500 points via a 1-2 punch from the weak China PMI along with the Abe-nomics plan failing. The index lost two weeks of ground in a single day. Normally in such cases, I’d be uber-bearish, but I don’t expect a major trend reversal (just...
Read MoreAUDUSD Offering Intra-Day Price Action Signals | May 22nd
AUDUSD – Strong Rejection at Key Level After initially gaining during the Bernanke conference, the Aussie sold off massively, rejecting just shy of the aforementioned key level .9843 where two prior pin bar signals formed. The prior SL (swing low) at .9709 where the corrective move started, was broken, with the market pulling back into it – then selling off further. Traders can look...
Read MoreAussie Corrective Pullback + Pin Bar Signal – More Downside? May 21st
AUDUSD – Aussie Forms Pin Bar At Pullback Level After selling off for 10 of the last 12 days, some profit taking / short covering was to be expected and you can see it in the chart below. This corrective pullback had formed two pin bar signals at a key intra-day level. I want to be short, but considering the BOJ policy meeting, and much anticipated Bernanke speak tomorrow, I’d rather...
Read More5 Things All Forex Traders Must Avoid
After working with thousands of trader, along with my 13+ year trading career, I have seen the dozens of pitfalls and traps developing or struggling traders continually fall into, that I myself have fallen into early on, and that separate oneself from trading profitably and consistently. In this article, I am going to share 5 things all forex traders must avoid, but will wait to hear your...
Read MoreWeekly Forex Price Action Outlook | May 19 – 24
EURUSD – Approaching the Yearly Lows Selling off for 7 days straight, which is the longest stretch of the year, the Euro is fast approaching the yearly lows at 1.2744. You will notice on the daily chart below that every one of the 7 days of selling (save for the 4th) had significant wicks on the bottom, suggesting that although the pressure is down, the pair is having to fight through...
Read MoreFocus On What You Can Control – The Trading Mindset
I wanted to discuss a brief lesson today on a personal event that happened to me this week. I feel if you can learn to do this correctly, and avoid this pitfall, you will find your mindset and thoughts being more focused and executing better trades. I was traveling for about 6 days internationally, but had a few hours and wanted to do some trading. My set and forget strategies were already...
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