Most traders keeping a lookout for a new foreign exchange trading system such as Forex Profit Accelerator are looking for the ultimate prize. That is, the one perfect system that will earn cash, if not every single time, then at least 90% of the time. Reports in ads of systems that have an incredibly high success rate support the belief that such a perfect or near perfect forex trading system exists. Read the rest of this entry

Currency trading trading, a ton of folks might already have heard of it, but not all grasp what it’s all about. One might typically think that it’s for the ‘big’ ones, big businesses and organizations. However that is not so, after all, there are a lot of standard people who are into forex trading. Read the rest of this entry

You need money to live a secure life. You need money to provide education to your kids. And, you need money to have a meal. Read the rest of this entry

Forex trading is the biggest known monetary market. Daytime or nighttime, it doesn’t very matter; the trade goes on even as half of the world is sleeping. It presents a lot of opportunities for numerous organizations and people to make profit. Read the rest of this entry

I have read about GBPBOT and noticed that currency trading online is starting to become a very widely known way to earn money from home, but there also are many stories of people who get burned. So how safe is forex trading, and how can you shield your investment if you make a decision to get embroiled in this hot new online financial market?

The first thing to be definite about if you are thinking of taking up fx trading online, is that you can make cash but you may also lose it. Read the rest of this entry

Forex market is the largest financial market in the globe, where money is traded freely. In its current shape the Currency exchange market place was introduced in the 1970s, at time when free exchange values were introduced, and only the participants of the market place control the price of one currency against some other country proceeding from demand and supply. With respect to the the freedom from any outside control and free contest are concerned, the Currency exchange market place is the ideal marketplace. Read the rest of this entry

How much did your last FX trade cost you? Chances are that you lost more than just your broker’s spread. Be honest with yourself for a moment. Read the rest of this entry

Price has been in normal “August mode.” This week I’ll continue to trade harmonic patterns with special emphasis placed on Potential Entry Zones (PEZ) on or near my Potential Price Action Levels (PPALs). I’ll explain the PPALs in a blog post later today. For now, just think of it as a price zone of interest, S/R, etc. My focus will be on tight stop loss orders and smaller targets. Here is the data for next week:

GBPUSD
Bias: Neutral

Potential Price Action Levels
PPAL1: 1.6677
PPAL2: 1.6770
PPAL3: 1.7075

PPAL4: 1.6455
PPAL5: 1.6244
PPAL6: 1.6033

EURUSD
Bias: Neutral

Potential Price Action Levels

PPAL1: 1.4406
PPAL2: 1.4574
PPAL3: 1.4684

PPAL4: 1.4221
PPAL5: 1.4078
PPAL6: 1.3902

USDJPY
Bias: Neutral

Potential Price Action Levels

PPAL1: 94.89
PPAL2: 95.60
PPAL3: 96.96

PPAL4: 93.79
PPAL5: 93.05
PPAL6: 92.39

Potential Price Action Level:  Many of you have asked questions about my reversal zones.  These levels are historic levels of interest to the market.  They do not represent a definite reversal.  They present us with a price to which the market has reacted before.  This makes the PPAL a good entry point for either direction.   On a breakout of that level, we can expect a pullback, on a reversal, we can expect pullbacks.  Either way, they are prices that I like to look at for price action and to reinforce the PEZ for harmonic patterns.

The COT data is moving in a more predictable pattern now than in the last few weeks.  As I predicted last week, the commercial traders have started to liquidate their long positions on USD futures.  It will take a few weeks for them to liquidate these positions without tanking the value too quickly.  This indicates USD strength for another few weeks vs the Euro, CHF, GBP, AUD, and CAD.   JPY futures seem to be picking up favor.  The JPY Long index moved from 57 to 77 last week.  The COT data this week supports last week’s candles nicely.  I’ll trade in the direction indicated by price action on the weekly and daily candles.

EURUSD

Weekly Bias: Bearish

Probable Reversal Zones:

R: 1.4313

R: 1.4447

R: 1.4715

S: 1.4050

S: 1.3894

S: 1.3742

Strategy: Sell rallies at PRZs and resiustance levels.   Last week’s long legged doji followed the preceding week’s shooting star.  The COT data still points to a strong USD and a weak EURO.  We’re still in sumkmer trading so I’ll be cautious.

GBPUSD

Weekly Bias: Bearish

Probable Reversal Zones:

R:  1.6672

R:  1.7031

R:  1.7517

S:  1.6267

S:  1.5980

S:  1.5730

Strategy: Sell rallies to Bearish PRZs and Resistance levels on lower time frames.  Last week’s cnadle followed up the shooting star nicely.  If it were a couple of weeks later in the year, I’d probably start building a short position on this pair.

USDJPY

Weekly Bias: Bearish

Probable Reversal Zones:

R: 95.87

R: 96.99

R: 98.12

S: 94.03

S: 93.10

S: 92.28

Strategy: Sell rallies to PRZs and resistance levels on lower timeframes.  UJ printed a DCC on the weekly.  It was just a few pips away from being a bearish engulfing pattern.  I’ll enter a short order at the 61.8% of last week’s price action with stops above the weekly high.

USDCAD followed up the preceding week’s hammer nicely.  Price began retracing from the daily PRZ at 1.1017 in the closing hour.  Current technicals and fundamentals point to a bullish week for USDCAD.  I’m looking for an “early” continuation of that retracement down to the  1.0970 – 1.0940 area then a re-test of the 1.1020 level.

Here are two possible early week trade setups:

Enter longs on a confirmed breakout (1-2-3) of the 1.1017 level with stops below 1.0988.  Target   1.1168.  Move stops to break even when price reaches 1.1079.

Enter shorts on a confirmed reversal (1-2-3) of the 1.1017 level with stops above 1.1045.  Target 1.0924.  Move stop loss to break even when price reaches 1.0988.

COT Data:

USD:  93

CAD:  13

Crude Oil:  43

Potential Reversal Zones:

1.1744 (W)

1.1441 (D)

1.1300 (D)

1.1117 (D)

1.1081 (MP)

1.1017 (D)  (Look for a 1-2-3 continuation for a long opportunity here, 1-2-3 reversal for a short)

1.0997 (Current)

1.0924 (D)

1.0800 (D)

1.0772 (WP)

1.0626 (D)

—

D = Daily PRZ

W = Weekly PRZ

MP = Monthly Pivot

WP = Weekly Pivot

Fibs:

1.1040 38.2% (Weekly Swing)

1.1168 50% (Weekly Swing)

1.1295 61.8% (Weekly Swing)

1.1192 23.6% (Weekly)