I want to show you my latest example of Fibonacci retracement and extension levels working together to produce profitable trade opportunities. You will also see in the image below that the fib. levels agreed with my other indicators in confirming the direction of the trend. Both the 200 MA and the weekly pivots provided me with entry opportunities for a great longterm trade setup as well as allowed me to justify staying in the market even after the target of 138.2 was hit earlier this morning. This one trade has already netted me over 750 pips. Now that it has reached the weekly S1, I’m cautiously watching to see if this critical level in price action will spur a new rally, or if
Continue reading–>Fibonacci Trading| 38.2 Retracement Reaches 138.2 Extension
I want to share more information about how to use Fibonacci levels in forex trading. Fibonacci retracements and extensions are my top choice for predicting price action. In this video from Andrei Knight from fxKnight.com, Andrei goes over an easy method for applying fibonacci levels to your trading strategy using the Fibonacci ABCD method. This is the exact same strategy I use in my own Fibonacci Made Easy lesson, and I hope it sheds more insight on how to use this great indicator.
Please Share
Continue reading–>Fibonacci Trading| Using Fibonacci Retracement and Extension To Trade
With the passage of the Dodd-Frank Wall Street Reform and Consumer Protection Act, there is only one way around the severe restrictions that trading under the glare of the U.S. government has created: create an offshore corporation. Yes it is a hassle, yes it will cost money initially that you would otherwise have to invest, but the new outflow of U.S. dollars into foreign bank accounts should at least help out everyone else in the meantime. We will not and should not accept the current legislation and I proudly promote a way of getting around these horrible laws recently enacted by our worthless United States Congress!
I am going to provide some excerpts from a recent forum post from Continue reading–>How To Get Around Dodd-Frank Act: Creating An Off-Shore Corporation
After a week of boring range trading, the pair rose earlier to 1.2855 where it met the Weekly R1. This was the highest price since August 19. Despite the pull back after we hit the Weekly R1, the Euro is still trading more than a 120 pips above today’s opening price, the biggest daily gain in almost a month. Looking ahead, I would expect to see the current rally extend as high as 1.2900′s. Also watch for 1.2780 as an important level of support; it is both the old trend high for the recent rebound as well as the 38.2% retracement of today’s 1.2663/1.2855 range.
Here’s my 4 hr chart. Good luck trading!
Please Share
Continue reading–>EUR/USD Goes Bullish
Welcome to my website. I have created lessons and videos to help teach my method of trading forex which you’ll find listed below.
I encourage you to explore all the categories and leave any questions or comments you want. I created this website to help teach forex, so all questions are welcome!
There are lessons on: Fibonacci Made Easy, Support/Resistance, Pivot Points, Moving Averages, the Alligator and Money Management
There are videos of: Using Fibonacci, Using the Alligator, Using Pivots, and Trade Analysis
Also check out my review of the best forex educational service I’ve ever experienced: Forex Education| fxKnight.com Review
Please Share
Continue reading–>Welcome to FOREX-NATION
Well it looks like my bias for more of a down move on the EUR/USD below the 1.2600 level has not come into being just yet. The pair is still continuing to consolidate and shake out the longer-term short trades (mine included) as it inches is way above the 1.2700 level. Lots of resistance to be had up above, but since we are at the end of the week, I’m taking the next day off while this currency pair makes up its mind with regards to the next trend.
Anytime you are in a ranging market, daily pivot points work quite well at predicting price action. As I mentioned in my post below, I have been looking for opportunities to short
Continue reading–>EUR/USD vs. Daily Pivots
UPDATE: 8-25-2010
I am still short on the EUR/USD as it still appears to be a bearish trending market as of this writing. Here are two more pics of my graphs. This first pic shows that a bearish engulphing candlestick has formed on the 4 hr chart and our moving averages are still far enough apart to indicate the bearish momentum is still decent.
Also lets see what forms of support might account for this period of consolidation that we are in. The answer is once again a fib level my friends. Here’s my daily chart where you will see that we are right around the 50 fib level from the recent May to August rally.
So I would watch
Continue reading–>Quick look at the EUR/USD 4 hr chart
I started the year off championing the fight against the narrow-minded bureaucrats of the CFTC (Commodity Trading Futures Commission) who included a proposal to limit spot forex leverage to a ridiculous 10:1 for all U.S. based retail forex trading in an otherwise good intentioned proposal to regulate the growing forex industry in the U.S. The result of such over-regulation was an overwhelmingly negative one in which the CFTC received over 6,000 letters, emails, and faxes disapproving such a proposal. This was the most feedback the CFTC received for anything… ever! And it would appear that the outcry from U.S. traders and brokers has had the effect of silencing any real
Continue reading–>Forex Vs. Dodd-Frank Wall Street Reform Act
I love it when a plan comes together! The trendline that I’ve been posting about and following since the end of June when bullish momentum took charge over the EUR/USD pair, was finally broken today as a result of both profit taking ahead of the U.S. FOMC meeting and and abysmal Q2 Non-Farm Productivity figures (biggest decline since Q3 2008). As a result of that trendline break we saw strong selling pressure that was met with slight support around the 200 MA and weekly S1. The retracement went right up to my red MA (which provides support/resistance in strong trending markets) as well as the 50 fib level. God I love fib levels more and more. Once the retracement was
Continue reading–>Easy Trade Set Ups on the EUR/USD
Well the numbers are in and as expected the unemployment rate held steady at 9.5%. June private sector jobs were revised much lower, to +31,000 from +83,000 previously! Total non-farm payrolls were revised lower to -221,000 in June, from -125,000 previously. All in all this was not a good sign of the times here in the U.S.
I’ve attached a photo of the trade setup that I took on the EUR/USD. Whenever trading the NFP, I always let the market choose a direction first, then wait for a retracement to begin and use my fib levels to determine my actual entry. In this case the momentum was very strong and so our retracement was very weak, only reaching the
Continue reading–>NFP Trade Setup for August 2010
|
Award Winning Forex Training
|
Most Popular Posts