EUR/CAD hit an intraday high of 1.6366 which was enough to ring the cash register on my first profit objective. Stops can be brought to break even on the second half of the trade to target second objective.
Ill wait for a small retracement to 1.60´s before attemping a move to the 50% level on the daily chart.
Eur/Gbp – The cross has broken to fresh six-week highs and continues to surge reaching 0.9300 thus far today ahead of the latest minor pullback. However, while below the 0.9520 (26Jan high) 2009 lower top, we continue to look for opportunities to establish short positions in anticipation of a resumption of the broader decline off of the 0.9805 life-time highs from late December 2008. The next key levels to watch above come in by the 0.9340-60 area which represent the 78.6% fib retracement off of the 0.9520-0.8635 move and 61.8% fib retracement off of the 0.9805-0.8635 move. Any evidence of stalling in this area should be used as an opportunity to re-establish short positions. Daily stochastics are already overbought and a move to 0.9340-60 will most likely put the RSI above 70 which also bodes well for a lower top and market reversal.
Hi guys, i am new to fx, and would like to know how do u determine on which fib levels do you enter the market on a retracement. Thanks for ur help
You will see some excellent posts in here from day to day..... examine how they place the tool.
Also
Start to use the tool a lot, practise placing it on charts and see where the lines fall according to price..... you will learn a lot from doing that alone.
Look in the trend forum also as there is some fibonacci applications in some of those posts....
To me, the big thing is experience using the tool......
Hi guys, i am new to fx, and would like to know how do u determine on which fib levels do you enter the market on a retracement. Thanks for ur help
The best way to trade Fibonacci levels is to allow the market or price itself determine which Fibonacci support level will hold. In an up trend, Fibonacci levels are hidden levels of possible support. Simply put, all Fib levels work until they don't. Look for candlestick reversal patterns to form at these levels like Hammers, Bullish Engulfing, Morning Star. Wait for a bounce from either the .382, .50 or .618 levels. When price bounces from one of these levels enter at the beginning of the next candlestick an place a stop a few pips below the Fibonacci level. If you are stopped out in one level, you may need to go to the other two levels. Trading in the direction of the Daily Trend puts the odds in your favor.
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Gbp/Aud – The latest round of setbacks could be finally stalling out after finding a low by 2.1120 on Wednesday and rebounding into the afternoon to put in a doji close. This has been followed up with some bullish price action on Thursday with the cross taking out Wednesday’s high to end a sequence of 3 consecutive daily lower tops. The latest drop has also failed to establish a close below the 61.8% fib retrace off of the 2009 low-highs. As such, the market could now be looking to carve out a more medium-term higher low above 2.0750 (26Jan lows) at 2.1120 ahead of a fresh upside extension back above 2.2880 over the coming weeks. Look for confirmation on a break back above Thursday’s high at 2.1515 into Friday. Longs are only recommended on a break back above 2.1515. Inability to clear 2.1515 negates and exposes deeper setbacks. Strategy: BUY @2.1520 FOR A 2.2575 OBJECTIVE, STOP @2.1090.
The cross continues its decline off of the 1.2935 2009 highs from March 2, now trading back into the 1.2200’s. However, the broader structure still remains constructive and the preferred strategy is to look for opportunities to buy into dips in anticipation of a resumption of the major up-trend. Daily studies are nearly oversold with the RSI at 32 and we will look for a dip below 30 to consider buying. The move to 30 in the RSI should coincide with a confluence of formidable support by 1.2200 in the form of the 61.8% fib retrace off of the 2009 low-highs along with the 100/200-Day SMAs. Any setbacks below 1.2200 are seen limited. Strategy: BUY @1.2190 FOR A 1.2580 OBJECTIVE, STOP @1.1890.
Hi Joel any thoughts on GBP/NZD - this pair has been trading a huge range since october - in quite linear fashion - highly oversold at the moment - Any thoughts?
can someone tell me what the correct method for charting fibs is? with regards to shadow? do you count the shadows in your fib lines or do u use the open/close? see chart 1 and 2
can someone tell me what the correct method for charting fibs is? with regards to shadow? do you count the shadows in your fib lines or do u use the open/close? see chart 1 and 2
Hi Joel any thoughts on GBP/NZD - this pair has been trading a huge range since october - in quite linear fashion - highly oversold at the moment - Any thoughts?
I Like buying it at current levels by 2.5650 for some decent upside after the cross has stalled pout by the 78.6% fib retrace off of the yearly low-highs....stops should be below 2.5300..hope this helps
Aud/Nzd: We have been doing a lot of Kiwi selling this week with the currency showing overbought across the board. This cross is also now well oversold and dips should be used as opportunities to buy back into the broader up-trend. Setbacks have reached and slightly exceeded the 61.8% fib retracement off of the 1.1935-1.2935 Dec-Mar move but we do not expect the cross to be able to sustain below this level given the highly oversold daily readings. Look for a medium-term higher low to carve out at current levels above 1.2000 ahead of the next major upside extension back towards the 2009 highs at 1.2935.
The EURO retraced to the 38.2% support level last week. Since they mirror each other, the USD index hit resistance at the same level. At minimum, the EURO should get a bounce on Monday, but it may also continue the uptrend. Being a dollar bear, given that socialist radicals are in charge in the USA, my guess is the uptrend continues.
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