Hey Guys,
Last week was not bad but not great either. We had a win and a loss. The last line break happened so close to end of the week that it was not a trade. I never take trades a few candles before market close.
As for the loss it was not as bad as a normal loss. Since it happened so close to the start of the week I was being very cautious and closed it out with -30 pips. The win was worth +63 pips. So all in all I came out on top.
Sorry I did no update the blog I was way too busy with the blitz and on top of that I am running Forex4Noobs from a USB dongle modem which is unbelievably slow. Again I am doing written analysis as this connection cannot handle uploading a video. I get my broadband on Thursday though!
MONDAY IS A BANK HOLIDAY FOR BOTH THE U.S. and the U.K. SO I WONT BE TRADING UNTIL TUESDAY
These are all scalp lines therefore the target and stop for all of them is 50 pips.
1. Long @ 151.55 – strong line
This is an awesome line. We can see a strong move up from the 135.60 area followed by a strong reversal at our line. This formed a great little scalp line. I will be targeting 50 pips on a break of this line with a 50 pip stop loss. This line has been around for weeks though so be on the lookout for fake breaks. I will be watching this one like a hawk.
2. Short @ 142.95 – strong line
This line formed last week on the failed line break of the 143.30 and it is a pretty good line. The price has moved quite a decent distance away from it so it has gained quite a bit of strength in my eyes. Watch out though this area has proven to be very tough to break through. I will exercise extreme caution with this trade.
3. Short @ 139.00 – strong line
This is a very good line that formed a few weeks ago.
4. Short @ 135.60 – average line
This is a pretty good line but it is over 1000 pips away so I wouldn’t look for it to be broken this week. However, if it is I will be targeting 50 pips on a break of this line with a 50 pip stop loss.
5. Short @ 131.40 – average line
Again this is a pretty good line but it is far away so I wouldn’t look for it to be broken this week. However, if it is I will be targeting 50 pips on a break of this line with a 50 pip stop loss.
6. Other lines
As usual other lines are likely to form during the week so keep an eye out. I will update the analysis if any new lines form.
Some good news: The price has been down in this area for a while and as far as I can see some decent support and resistance lines are beginning to form. I will be reintroducing S+R lines into my trading next weeks.