Dale_Ansel

Nice long uptrend we've had on this pair. Now momentum is shifting and it's most likely going to reverse and make a move to the downside. Before it does however a few nice trades might be taken while it's in this RANGE. We have 2 upper touches and 2 lower touches creating a well defined and valid channel. I'll be looking to go short this week if price makes ...

HERE IS AN EXAMPLE OF HOW I PERFORM A "TOP DOWN ANALYSIS" ON A CURRENCY PAIR THAT I TRADE. A BIG PART OF HOW i DO MY ANALYSIS IS TO IDENTIFY IF PRICE IS IN A TRENDING MARKET, RANGING OR CONSOLIDATION. NOW OF COURSE ON LOWER TIME FRAMES IT WILL APPEAR DIFFERENT. I USE THE DAILY TIME FRAME AS MY 'ANCHOR CHART'. THIS MEANS THAT I TRADE IN THE DIRECTION OF THE ...

WHEN DOING YOUR TOP-DOWN ANALYSIS ON THE DAILY TIME FRAME. WE TRADE WHAT WE SEE, NOT WHAT WE 'WANT TO SEE'. WE HAVE TO IDENTIFY WHAT THE MARKET IS DOING PERTAINING TO PRICE ACTION AND TRY TO SEE IF A HIGH-PROBABILITY PATTERN IS PRESENT, THAT OFFERS US AN "EDGE."

Here is an example of a large M-PATTERN that just completed on the AUD/CAD Daily Chart. I labeled all (4) legs of the pattern. REMEMBER DON'T ENTER SHORT ON THE ENTRY LEG UNTIL YOU GET A HA CANDLE CHANGE AND THEN ENETER ON THE CLOSE OF THAT CANDLE. STOP LOSS GOES JUST ABOVE SWING HIGH

DURING TIMES OF HIGH VOLATILITY, WHICH CAN PRODUCE QUITE A BIT OF NON-TRENDING CHOP. M AND W PATTERNS CAN BE SEEN QUITE FREQUENTLY, IF YOU KNOW WHAT TO LOOK FOR. THE FIRST LEG OF THE M OR W IS TYPICALLY A VERY STONG IMPULSE LEG, WITH LITTLE CONSOLIDATION OR PULL-BACKS. ONCE THIS INITIAL LEG ENDS, LOOK FOR A PULL-BACK LEG TO FORM A "V" NOTCH AT THE BOTTOM FOR W ...

Whenever entering a trade I want to know what's going on as far as price action on the Daily chart. I feel the daily chart is the most significant as far as displaying the current market sentiment. Once you identify what type of price action the daily time frame is in, then you can determine how and when you will enter a trade on the lower time frames. At least ...

I now mainly trade (3) types of setups. Trending, Range and Pattern. This is an example of how I scan for price action that is currently in a Range. Each day I scan through about 19 Pairs that I trade and this 4-View option allows me to scan the Daily, 240M, 60M and 15M all in one glance. What's great about this example is there are 3 of the 4 times frames ...

Nice uptrend, Recent pullback to the .786 Fib line. Stochastic oversold hooking back up, i'm ready for a nice bullish move. Lets see what happens.

Description of trade set-up on chart. The idea behind this trade set-up is when you have a strong uptrend or downtrend and you have the 50-SMA angled UP or DOWN. When price shoots up or down penetrating the 50-SMA . . . Meaning price is going against the 50-SMA Trend, it usually is temporary and goes back through the 50 to resume the strong trend it was in. I ...

Well here's one of those trades that has all the things we look for all lined up. 1. Strong downtrend with a pullback to (2) key resistance levels: 100-MA & .618 Fib Line. 2. We saw price break through the 50-MA and pinball off the 100-MA on the last major move. 3. Stochastic (which i use a a 'cycle indicator' is showing price is at the "peak" of a cycle and ...

i am not a strict advanced pattern trader. Meaning if the angle/length of the X to A leg or the distance from A to C is a little greater or less than what its supposed to be to validate the pattern, ill still trade it with tight stops. in this case once we see price meet resistance in the area of C, we can enter short with a stop loss just above A area to ...

See chart for trade setup.

See Notes on Chart.

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, ...

It doesn't look any better than this folks. All the right ingredients here for a trend continuation play: 1. Shorting into a downtrend. 2. Price is using 20-SMA as dynamic resistance. 3. RSI up in relative overbought area. 4. Doji candle nearing completion on the hourly. Time to SHORT. . . NOTE: I'd put stop loss just above 20-SMA level.

I have a good feeling on this one. Overall bias/trend is DOWN on the daily chart. Lower High, followed by multiple Lower Lows. We have a lot of things working here for a good high probability bearish move: 1. Trading into the major prevailing trend. 2. Price has pulled back to a prior area of support and has been rejected. 3. Price going back up into the 50% ...

Here's a great opportunity for a low risk decent move trade. Stop could be placed around 118.15 area, target will be green area so anywhere from 119.20 to 119.40 area. Typically falling wedge will coil and SPRING to life with a bullish move. Lets wait and see! Good Luck . . .

Something to keep in mind when trading currency is how other instruments are tied to currencies, such Oil and the DOW, and how these all interact. In this case you can see how a drop in the EUR/USD saw an INVERSE play on the Dollar Index Futures. Where the US Dollar index dropped and found support on the 20-SMA, conversely you see the 20-SMA acting as resistance ...