Thursday, August 20, 2015

What is scalping or Intraday trading and How to scalp successfully

Scalping Techniques

I would post an article (not a post), but a complete article itself in the coming days where I would try to let trader's know How to scalp currencies. Scalping or Swing Trading are nothing but only techniques that requires practice and experience and all those myths that traders have or wrong assumptions that come to mind would be cleared with article. I would post charts with example and If an entry could be taken or what are the facts that you need to point out when you consider taking scalping or swing trading opportunities.

Starting with Euro dollar which I think is a safest currency and enough to provide you opportunities and clear level for Intraday trading and has good range on a given day. Euro is best to scalp because it is great sign of global sentiment and moves randomly with the global improvements and setbacks and that is why I always prefer Euro and Pound for Intraday trading although I always believe that trading any currency require immense concentration and it keep testing your nerves when it moves volatile but still a chance arrives when it fullfill few assumptions which has to back up by your trading plan


to be continued..............

Wednesday, August 19, 2015

How to read a Currency Chart With Euro Dollar Base was eyed

How currency Charts sometimes tells you in advance of Price Movement Hi all,
Its been a busy week so far and I was looking for opportunity but None was provided but today ahead of FOMC I saw Euro and pound chart Which I post earlier, and Now again I come up again with something that is worth looking at.

Reading Price Action chart is not a science, but an art and an art to understand in advance when and why a particular area is going to behave and when You know in advance and price react the same way then entry become lot easier.


See here
FOMC Statement and Pound Updates

Supply and demand traders are somewhat stay ahead of what other thinks and Recent Euro dollar example tells you all the story. We saw a strong Euro breakout and also saw a strong demand level which I market in the chart. Demand and supply are more than you can think of but I always mark those which are really helpful. Now, the idea is demand and supply levels are there to be broken but we can really spot out those who are going to hold and chart below is a great example of that.


How demand level in Euro Holds out



Although I sight reversal in Euro When it was fail to break above the multi-week high again after long ranges, But still I need further clues to make a statement that Euro has continue its Bullish Momentum and further gains are possible, But I never make prediction till I got a strong evidence of what is about to happen in the coming days or weeks.


Euro is vastly trading currency globally because of 17 Nation currency has lot of trading partners globally and they need Euro to pay for Imports and that is why Euro's exchange rate is sometime so vital for other basket of currency and they will move randomly with Euro, But One should not bet on that and Should have well versed with knowledge and skills to trade Euro or Currency that are positively or negative correlated with the Euro.


Reading Currency Chart is the Important tool to have as Its not only about indicators lagging or advanced, it is about reading Institutions or strong holders movement because they are the one who will move the market up or down wherever they want and specially when you have such big risky event one must be completely sure of taking and entry prior to release because when you take entries with the market movement then most of the time you get trapped and price mostly reverse after strong one sided movement.


This is a special skill that one should have to survive and think of making Forex as full time employment or money making opportunity but reading charts is must to have in your belt to keep growing as a trader.


Stay Tuned For More.

gbp/usd Update Before FOMC Statement

gbp/usd trending want higher prices values assets quite cheap












Sterling Chart has been updated and I have seen Values that want to push the price higher and some strong new cash flows yesterday but it still capped around 1.5750-75 area and once they are cleared, I won't have any other doubt that price will surely test the high and go through very strongly.

Just waiting for another FOMC Fed minutes to disappoint Market as they seems in no hurries but BOE seems to be in quite a hurry and next BOE meeting would be very crucial but I prefer to see values on chart and keep things simple and straight and I would be watching strong test of base again around 1.5640-60 area and then would be looking to see If price break the recent high for more growth.

Stay in touch
Trade well

Saturday, August 15, 2015

Euro dollar updates ? Is the rally substantial.

Euro dollar Rallies After Strong NFP data Hi, Traders
Is has been busy week since have post few trade setups and those which were post went fantastic and specially Where I have mentioned that reversal is on the cards even before the NFP data was released earlier this month.
I would be rather sitting on sidelines as Euro is very well bid up but rally from the highs is sending signals for a test of 1.1125 and below 1.1075 area But that's not important as Institutional Money is out of Market otherwise they would have went along with the break out and go beyond 1.1260 Barrier, but they give up earlier and took their profits and retailers are just moving the price in a range on shorter time frames.
How I spot Eur/usd Reversal when Last NFP data was released

Focus is now shift from risky events to expecting events and when that was happening when Fed start bond buying programme two years ago we see Euro rally a lot and the reason was simple that Situation in Euro Area was the same But the dollar demand was low because Fed did not want strong dollar as their focus was development and provide banks enough liquidity and safety that stock holders start feeling confidence in investing and feel much secure with their Investments in States.


That Bond buying Programm did wonderfully well and we see stock market is at the all time high's and Not even in US but through the world we have seen a rally since last two years. Now Time has come to provide more safety as Fed has create enough employment opportunities for its public and now we soon shall see rate liftoff and that is why September Meeting minutes are very important for Investors around the globe.


Friday, August 07, 2015

Trading levels of Gbp/usd l Price Action Analysis

Price Action Analysis of Pound Hi, Its quite a busy day with much awaited NFP which came just below expectation but as I mentioned in my previous post Eur/usd that Reversal in Euro could be on the cards,even though Unemployment Data came inline or more than expectation as long as 1.0870 level is protected and Now, I am waiting for Price Action to give me more clues of bullish momentum and I will update the Euro Chart If and When that happens.

This post is about Sterling or Pound dollar chart In which I am about to mentioned few crucial points of Price Action,First of them is that It traded in within a range since past few weeks and when that low was broken, price hurried up to go above the broken support.

Point of concern now is break above 1.5550 to give us strong indication that bullish momentum is again getting speed and we should look for long entries. But as I said we need a break above that level. To Sum up the things see the h4 chart with possible scenarios and How price unfolds beautifully as expected.


Price chart of Sterling




As You see in the chat price attack the line 1.5470 immediately after breaking the support gives us clue that price is ready to rise but we need bigger clues if price can break 1.5550 and we will get strong trading levels from 1.5470 to 1.5550 and then we try and look for possible long or short entry. But still too early to tell whether price action of gbp/usd is bullish or bearish.
Looking ahead 1.5610 is strong level and Price Action traders always keep in mind the possible targets when it hits the bullish momentum and possibly continue its way through and breach several levels to find its target.

If Price breaks the low of 1.5422 level then it would be a different story altogether as I would look for bearish entries if Price give us opportunity at higher levels to trade and short the pair after breaching the lows .
Price Action always tells us what to do and what not to do and how much you need to have patience and whether or not that patience is paid or leave you much more awaited for your next trade.


These are much important levels for Price action traders, As I mention in my previous posts that Supply and demand levels are the only true levels to trade rather than trusting support and resistance as we have seen so many times, Price breaks a support and rise with more powerful and break the resistance and decline with even more strong pace than rise. But Price Action is king and reading every time frame is very important to give you the entry and exit levels.


Stay tuned for more.
Trade Well
Happy Weekend

Thursday, August 06, 2015

Much Awaited Non Farm Payroll Possible Last one before liftoff

Euro dollar Update Before NFP Data Hi, This is possibly the last Non-Farm Payroll Data before Fed start lifting up rate till the end of 2016 and this should be the real cause of concern, But this market has lot to offer but nothing for those who are not conscious.

I am posting Euro dollar update With the Real time example of last move and what happened when there was talk of Greece exit and Euro rally over 400 pips, after the market open taking all the stops above swings high and low,But I would still be cautious and will not trade this report as I have market few areas on my chat which will be a due coarse of focus for me, and If price went as expected, then we could be in for another ride before the Next Fed Meet.

Eur/usd Chart Update With Possible Moves



I don't expect anything from markets as I hardly watch news but I spot the areas of concern on my chart and If I am right then I will possible turn to shorter time frames for entry. Euro is in pause mode since last few weeks, may be Market expecting a lot from data but possibly one clue was given when Employment cost Index data was released past week, which tells that employment rise only give 0.2% of the wages rise and which was much lower when Fed was rising rates a decade or so ago.


But Situation can change dramatically and we can see the opposite reaction, when data released but I am expecting something out of the blues, But never ever ignore what market offers or it does and stay alert on your toes and don't just push buy and sell button, till you mean to and when you have to.
Stay tuned for more.
Trade Well

Wednesday, August 05, 2015

Supply overcomes demand and finally Consumed and Bulls Ride The trend

Bulls and Bears fight as Demand overcomes Demand As I update you yesterday about my positions in Eur/jpy trade and you can check them by checking this post.

Further, I would like to put more light on the fact that Only Price action is what Tells you where price is heading, Trading with lot of indicators never gives you an edge, unless you know what is happening in the market.


Price is king whenever you trade and whatever method you adopt should gives you an edge over other methods and If You still don't know your niche in trading, you are not on the right track and only get disappoint whatever system you try.

I never Claim that I am trading with best of the strategies and Speaking honestly I would like to mention that I only succeed 30% of the time but what about rest 70% of trades, they all are Loosers but my Profitability factor is still 3 times of my average losses.

Have a look at previous Two trades As How accurate you can get sometime depends on how conscious you are about your system


Eur/Jpy Demand Overcome Supply and Drive the Market


Points you need to considered while trading or building a plan


* Versatile Strategies should be adopted as Market conditions changes every-time.

* Trade only logic and not Indicators.

*Whatever system you adopt, You should make it your own and add few unique enter and exit strategies.

* Don't ever follow your trade too much. You should know in advance what IT's have planned and why they should take your stops before moving in your favorite position.

* Price is the only thing you need to consider rather than trusted only bullish and bearish candles.
Stay tuned for bit of more help. Take a look at few of my previous posts.

How To make decisions in Advance in Forex Trading

Decisions Points in Currency Trading

How I pick short term Top in Euro

How to decide in advacne the Value of currency will be Rejected at several places

How to determine the Currency Price Its been quite an exciting week so far, with lot of happening around but the most important thing is that if we can something out of that market movement, Here I am about to discuss "How we can project that current Value will be rejected or not", As we all know this market is not driven by retail trades and hence we have on control what so ever as we Collectively move in one side and still we can't drive the market up or down at a certain pace, but still we can collectively facilitate the market.

It is up to strong holders that how to drive the market and how to keep those level interested, that everybody took their piece while we approach an area high low which is breached by strong movement either way, Specially when we trade supply and demand and the movement is so sharp that sometimes we do see few fake retest and value still remain up or below a certain barrier.

Let's take a look at trade of Eur/jpy I took yesterday



So, when you decide to trade such scenario, think in Advance.
* Importance of Level, How crucial the level is, means the rise and decline from the broken level should be strong
* How Price is approaching the level or retesting it . If price still very choppy in retesting then move to lower time frames for entry
*It's better to wait for first test otherwise that supply or demand levels seems to be consumed if we wait for second retest and still low values can spike out of anywhere.
*Profit margin should be atleast 2 time the risks and If you trade at higher time frames then this type of trades can go atleast 5 to 10 times of the risks, So better you trade those higher h1 or m30

Saturday, August 01, 2015

Charts that have Strong Supply and Demand Zones or Levels protected

Buying and selling Zones in Currency Trading
As I previously mentioned that You don't have to look out for historical price values as there is strong intuition that price might react or not react on a particular zones and chart that I have posted below really is a strong evidence that Strong Supply and Demand zones need reaction and those areas should show minor development areas or level protected after the breakout.

Strong Development Area or Demand and Supply Zones


Trading plan l Linning up currencies to Trade

How to prepare a plan to line up the possible trades for Coming days
Its been a nice Journey since I decide to put up this blog to help novice and new traders and even for experience traders. But some questions always do arise in trader's mind that what to do in the spare time or at the weekends when there is nothing to do.

Some traders prefer to spend time with the family, Other prepare their journals and most of the traders prefer to keep looking at historical price movements on Monthly and Daily charts for the possible setups.

I always mention on my blog that price turns and continuation is decided not in advance as most of them are decide as per sessions on Intraday basis till we have some strong holders keep moving the market for a week or for a month by most. Other trends built up take months to decide and still without the help of others no one can built trends for years or even decades and Price will keep facing challenges when strong trends tend to reverse or shortlived after strong run.

I am putting up lot of efforts as I prefer to stay in a trade for a day or two by most and won't enter until I get a strong confirmation of continuation because after a run there surely would be few sessions of consolidation or sideways movement and price take a pause before another run upfront.
As such it is not wise decision to line up pair which is trending to go and buy and sell immediately and one such example is the chart I am going to show in my upcoming posts.
This is a chart of sterling with possible turns with changes in momentum after the weeks starts before it shows strong run and reverse when the week start, which is in itself a strong statement that price turns are natural and Nobody controls the price no matter whether they have bundles of potential untill they got support from other holders.

Gbp/usd Reversals and Continuations



Most of you would think what is the reason of showing this type of values on chart, So defining conclusion is that whether we trust any historical chart or not, Most of the patterns give you returns as such only 15% of the candlesticks patterns do offer you strong reversals or complete reversals, So how wise is to test those patterns and continuation signals when the trading week sums up.


I would put up few more charts where you can decide in advance how to spot up behavior of strong money prior to price gets there but It should be part of strong imbalance and this area should have been development area of test once. It is just a matter to see whether to count a breakout is strong and has continuation power or it is just fakeout.
Stay tuned for another chart that offers you substantial return and activity is spoted and synchronize on every time frame.

How to Identify Strong Demand and supply Zones How to Trade breakaway Gaps and Importance of Gap in Currency Trading

Popular Posts