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Have been preparing my traders
for a breakout. Scaled into a long position
over the past couple of days, and did my final
adds on the news that the first Bitcoin ETF is
approved. This is a nice catalyst to combine
with the technical pattern we've been watching.

Depending on how the market will continue the reaction of Friday's news events, we might see the completion of this bullish cypher pattern or not.
Personally I will not enter with a limit order as there is no structure at the pattern completion, there is however some 10 pips lower (orange dotted line). If price reaches this point I will look for confirmation for a reversal as this increases our Risk/Reward ratio.

Let me know if you have any questions

Less is more ... We have 2 potential bats setting up here on the hourly chart. We'll check if one will complete and which one it will be ... but we are prepared for both directions :)

DO NOT OVER TRADE. People assume the best traders are the most active ones, and that we sit around all day staring at hundreds of charts. It's simply not true, but people love to over-complicate things. Pick a few reliable indicators, fine tune them to your liking, and follow the signals. Ignore the herd sentiment, the "fundamental" news developments, and all the noise. Trade what you see. Only price pays.

I believe the first impulse wave of the zigzag has completed. I'm expecting a correction back to (iv) then another impulse wave up to 320 to complete wave a of 5

I am fully aware of the risk that sequels tend not to be as good as the original (Rocky comes to mind), but I could not resist putting this pair on my watch list again. As my last two publications on this one (see links under Related Ideas) left me with a good amount of pips, I thought I would try to cash in again. I therefore present to you the new installment in the EURJPY series: Consolidation Mode Part III. This pair has been ranging around the key structure kevel of 135.14 for almost 27 days. Despite the mixed Euro data that came out this morning, price drove up 70 pips, so after breaking the key structure level to the downside last Thursday, price is now approaching it again from below.

On the technical side, we can see the contour of a bearish Bat on the hourly timeframe that completes at the mentioned structure level. Price comfortably passed the B point this morning and progressed 55% towards the potential reversal zone (PRZ). When defining the PRZ for a Bat pattern, we look at the projection of three harmonic levels. I: the 886 retracement of XA, II: an extended AB = CD pattern (in this case 1618 AB = CD) and III: a BC expansion (in this case 2618 BC). This defines a clear and tight zone, about 20 pips wide, represented by the orange lines in the chart. The key structure level at 135.14 lies smack in the middle of this zone, increasing the odds on a reversal.

Should the price climb enough to test the PRZ, stabilise and reverse convincingly, I would enter short. SL goes 10 pips behind X. Normally, I look for TP1 = 382 retracement of AD and TP2 = 618 retracement of AD, but in this instance I have placed them both a little higher due to structure support levels.

There are 101 pips to be made (if this pair follows the script) and the trade has a reward – risk ratio of 3.1!

This is an update of previous post.
Im still long, looking a H4 chart we see a series of HH,HL sequence.
There is an inverse HS pattern also, wich suggest a change trend.
Good luck.

Heavy fall AUDUSD has not started yet.
The next few weeks. AUDUSD will be growth.
The first target 0.72. And the final target in 2015 would be 0.62 level

Normally I rarely trade any butterfly patterns, but as this one should complete around previous structure I might give it a try. Stop loss is a bit tricky in this case as we have to go and check for previous structure. The risk reward ratio is not great, all depending on how you enter the trade. If for example a double bottom would form at pattern completion, we can place the stop loss a lot close to our entry, completely changing the Risk/Reward ration to our benefit.

Technical View:

GBP/USD has broken out of a 6 month descending channel on the weekly chart to the upside. The initial bullish surge occurred at the key psychological level of 1.5 forming a triple bottom formation.

This suggests that the bearish pressure is diminishing and that we may see an established bullish reversal. A retest of the backside of the channel and 1.52 as new support will be confirmation of a change in sentiment.

Fundamental Picture:

1. Expectations for a timely Fed Rate-Hike are diminishing on dovish Yellen.

2, Expectations remain strong for a U.K Rate Hike

3. Governor Mark Carney retains Hawkish Tone

4. UK GDP within expectations for Q4 at 0.5%

5. U.S. GDP expanded by 2.2% in the fourth quarter of 2014, below initial estimates for a growth rate of 2.6% but above expectations for 2.1%.

Contact us:

www.infinite-prosperity.com/activetrader

Please refer to the description in the analysis for information on this setup. Feel free to comment below for any questions or suggestions regarding my analysis.

Thanks
MaiTrader

Double bottom potential, at 2000 61.8% retracement.
RSI slight bullish divergence.
Range boxes.
Stochastics turning up.
Falling Wedge like formation.

Here is a favorite trade of mine I thought I'd share.

1. We are looking for the 50-SMA to indicate a downtrend (Angle is going down)

2. I am looking for price to break above the 50-SMA and several candles to close above making an ARC.

3. Then I want to find the high of that move which I use a Bearish Candlestick pattern:
Doji, Pin-Bar, Bearish Engulfing, etc.

4. I use the RSI as a momentum/overbought indicator. Looking for it to be oversold and making
lower highs. It doesn't have to show lower highs, may just head down. As long as it's in an area
showing overbought, that's good enough.

Buy @ close of next candlestick, which should close below the previous bearish one.

Stop loss is just above the peak candlestick.

Target #1 is 50-SMA

Target #2 is bottom of Bollinger Band

A cypher pattern is forming on AUDUSD with a Fibonacci cluster at a previous minor support level.
The Risk/Reward ratio is not terrible with a 1.25/1 and a 2/1 for targets 1 & 2 respectively.
However, if we can manage to find an entry reason based on structure to ride down to the pattern completion (eg. break below & retest the 0.7780's) we can make much more out of this potential pattern.

See if it fits your trading plan and may the pips be with you.

This is a revised version of the chart I published a few days ago. Scroll over to look at the similarities to last May. Short term I think we could retrace to bounce another time off the linear-scale downtrend line (resistance-turned support) at around $235 on March 4-5. Second bounce might not happen though. Then a few weeks of consolidation followed by a break up to test the log-scale downtrend line at about $310-320 sometime at the end of the month.
https://www.tradingview.com/x/wDcdlWwV/

Target after bounce, shown on log chart. Should break up to test downtrend line, which will coincide with the peak at 305-310
https://www.tradingview.com/x/VSVOc4Q2/

I'm still bullish long term, and we seem to have broke that consolidation wedge/triangle. More so, we're headed towards breaking that upper trend line of the bear market in due time. However, this overbought TA condition played out with a pullback the last few times. Heads up.

I actually made this a while ago when I created Bitcoin Truevalue and haven't adjusted the current curve at all.

Basically, all the trading ranges can fit nicely into these curves and rarely escape out of them. I tried curving out the rest of the bull-run in years past but they didn't really fit the curves. I'm thinking it's a result of matured trading instead of just investing.

So I totally expect another touch of the top of the curve very soon, followed by a nice slow downtrend to continue the bear-run. Then we'll stop out at about $200 and then fly out of the bear resistance due to some good news I guess. Lower would be a nice bet but I wouldn't short after $200 and I guessing a lot of other smart traders wouldn't either. I'm betting the next moon won't be much at about $800 (not illustrated).

Weekly Timeframe: Last week saw active selling come into the market from just below weekly supply at 1.1678-1.1458. This consequently saw the Euro print a full-bodied bearish candle stretching almost 200 pips from open (1.1388) to close (1.1189). Assuming that the sellers can continue with this tempo, we see very little reason why price cannot retest the weekly Quasimodo support level this week at 1.1109.

Daily Timeframe: The daily timeframe shows that the majority of selling was seen on Thursday (news related), which consequently took out a small daily demand area at 1.1260-1.1318. This move is significant in our opinion, owing to the fact that this daily demand held the market higher since the 4th march! With this zone out of the way, the path south is very likely free this week for price to challenge the daily demand area coming in at 1.1045-1.1127 (encapsulates the aforementioned weekly Quasimodo support level).

4hr Timeframe: For anyone who read our last report on the Euro, you may recall us mentioning that if price were to close above the 1.1200 mark, we’d then begin looking for price to retest this level as support and rally up to 4hr supply at 1.1262-1.1240, which as you can see, did happen. Unfortunately though, we were unable to find an entry long here to take advantage of this move, well done to anyone who did!

The Euro ended the week closing below and retesting the 1.1200 level as resistance. Providing that the sellers can hold out below 1.1200 today, our team will ultimately be in ‘short mode’. With lower timeframe confirmation, we’ll happily short down to the mid-level number 1.1150 marked in yellow, which will be our first take-profit target. In the event that price continues lower, our second and final take-profit target will be set just above the weekly Quasimodo support level seen in pink at 1.1109.

Some of you are probably thinking that it may not be wise to consider shorting the market when price is so near to a weekly support. You could very well be right. Nevertheless, what gives us confidence here is that price took out a relatively supportive daily demand area coming in at 1.1260-1.1318 (see above), which, to us, shows that most of the buying pressure is likely consumed and price may sell off.

Current buy/sell orders:

• Buy orders: Flat (Predicative stop-loss orders seen at: N/A).

• Sell orders: currently watching for lower timeframe price confirmation around 1.1200 (Predicative stop-loss orders seen at: dependent on where one confirms this level).