This is my personal blog, citing reasons for my buy/sell on certain currency pairs. What gets recorded, gets reviewed. And with each revision, I will be able to learn from past experience, and to avoid making the similar mistakes.
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Saturday, 27 May 2017
May 29 - June 2 Currency Watch
This will be the 3 pairs I will focus on next week.
Short EUR/USD, Short EUR/CAD, Long NZD/USD
For next week, this is what I will do :
a. Trade on a 4Hr Timeframe. Based on Fibo derived from EMS 5/20 cross over.
b. For long trade : Buy when prices are moving up. Buy each retracement. Keep buying until the last retracement purchase turned out losses. That may be a time for trend change. Reverse this for Short position.
c. Respect all the Opening/Closing line drawn on the MT4 charts. These are usually when retracement takes place.
Act on these commitments.
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May 29th Monday. 10.58am
Short entry made for EUR/CAD, and then EUR/NZD.
Both 10K with CityIndex.
Reason for the short :
EURCAD - @ daily timeframe, TDI turned negative and I am pretty bias with EUR currency. Suppect it to fall.
EURNZD - @ weekly, there was a tweezer formation, with a strong red bar, overpowering the previous green. My only problem is,..can I hang on till end of the week to sell?? Given my quick habit to taking profit out of the above asap.
Trying not to watch this pair too frequently since orders had already been placed.
Cheers !
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Update June 3rd
This is the follow up of above chart. My focus then was on shorting both EUR/CAD and EUR/NZD.
Fortunately only one order was made for shorting EUR/CAD and the chart shows , in white box, that the whole week ended, UP. EUR continued to show strength, even thought the open interest was showing an increase in puts.
NZD has showed some strength, so I shifted my main focus there. Looking at the weekly chart, it ended the week a doji. I was fortunate to be able to squeeze some money out of this pair despite it's doji candle. I had depended on SHI channel to get out in time, when price was at it's support level. My mind wanted it to break the support, but I decided to follow the market and got out. It bounced from support without me on it. It was a relieve.
This is how the call and put ratio looks like for EUR
The distance between put and call, widen, as seen on the first chart. 2nd chart shows call falling below 1, where 1 is bull/bear neutral.
With open interest like these, how can EUR continue to be strong? I have to observe, and start to move in when the whole market think like wise,.otherwise, if I think solely, my capital will be diminish if the timing is not right.
Just WAIT till the tide turn.
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