October 24, 2012 I received some questions regarding this post and aim to address them all here. One question was how many bounces do I look for when considering a level as “valid” or not. The simple answer is that I usually look for at least two bounces. Exceptions might be for recent extremes on the chart […]
October 23, 2012 Support and resistance levels are essential to technical analysis as they reference areas on a chart where price has a tendency to consolidate and potentially reverse from its previous direction. You might also hear some traders refer to these as “demand zones” and “supply zones” for support and resistance, respectively. Conceptualizing it […]
October 12, 2012 An important facet in trading is to keep an open, flexible mind about the market. That is, trade what you think the market will do rather than what you want it to do. This is especially hard for those who state or publish their outright opinions on how they envision the direction […]
October 9, 2012 Tuesday’s trade that I’m going to share with you occurred on the GBP/JPY around the 125.45 resistance level. After a period of consolidation earlier during the London session, the GBP/JPY had been in a clear uptrend since 6:45AM EST. However, the 7:40 candle* suggested that the trend was losing its momentum […]
The forex market was a little bit lighter on volume on Monday due to the Columbus Day bank holiday in the U.S., but there were still quality trade set-ups to be found on USD pairs. I took two trades on the GBP/USD. The GBP had been under pressure since about 5AM EST and had been […]