Midday Forex price action Analysis – 2016-09-22 (Setup on EURAUD)

In today’s analysis I look over the EUR/USD and USD/CAD trades from yesterday. I also spot a EUR/AUD Long set up.

Leave a Reply

6 Comments

    • Nick

      EUR/USD before and USD/CAD after. I am not too bothered with news. If I see strong indecision forming before news it is likely because news is going to cause a reversal. So yesterday before news we saw this:

      https://i.gyazo.com/10d1b4aa27648619d097d58463cd4278.png

      Was that candle a conincidence? No, it was forming because banks and hedge funds were positioning themselves to capitalize from the news release. The millions per year these companies pay for data, and for the analysts to interpret the data, means that they know how price will react to news. So, when they know price will spike up due to news, they enter trades and wait…

      … To us that appears as indecision, so we can predict what they are thinking, and we can trade.

      • linda

        Nick,
        In case of trading when the news are coming, do you expect the trade to be triggered before the news and the news will further push the market to the already triggered direction? I am a little concerned with starting a Stop Order right before the news because the news might cause long spikes which might first trigger the trade and then stop it.

    • Tom

      USDCAD had been indecisive for 4 days, the news pushed it down for the entry – hance you had to be quick to get in at a reasonable price.

  1. Jamie Stevens

    Hi Nick,
    Just joined your blog and forex 4 noobs site. Luv your vids . Are you in Aussie time zone?

    Regards, Jamie

Three Day Live Webinar starting July 29th - Master Forex Trading with my live training event!