Last week, the S&P 500's attempt to break out to new highs ended in a dramatic reversal, forming a bearish engulfing pin-bar candle. This key technical pattern, alongside a negative RSI divergence, signals waning bullish momentum and raises the probability of a market pullback.
Failed Breakout and Bearish Indicators:
On Friday, the S&P 500 attempted to break...
USDJPY has pushed past 160 seemingly unfazed. This level has been targeted by buyers since the start of the bullish reversal last month. The fear of further intervention from Japanese officials has kept investors shy when approaching this level but once again the pair has pushed past it without triggering an immediate reaction from Japan, similar to what happened...
EUR/USD has gapped higher this morning following the results of the French parliamentary elections. Traders reacted positively to the news that Marine Le Pen’s far-right Rassemblement National (RN), despite winning the first round with 33.2% of the vote, is unlikely to secure an outright majority in the parliament. This outcome alleviated fears of political...
Title bar: NR7: Harness the Power of Price Compression
Content:
Imagine having a tool in your trading arsenal that can help to predict expansive directional price movement with remarkable accuracy. The NR7 pattern , though often overlooked, offers this very capability. Let's delve into the power of NR7 and how it can applied to real-world trading scenarios....
Multi-timeframe analysis is a powerful technique that provides context and clarity to price action analysis. Today, we examine the AUD/USD, which is forming a wedge pattern across two timeframes.
Daily Chart Insights
The AUD/USD daily chart reveals a month-long equilibrium. Following a rally from April lows, AUD/USD encountered resistance at the March...
Oil prices have regained their bullish bias after three weeks of stable ascent. US crude (WTI) is up 13% since the lows on June 4 gaining almost $10 per barrel. The Relative Strength Index (RSI) has also regained significant room above the mid-line suggesting that bulls are back in control. But oil prices can be very volatile and momentum can quickly turn. For...
Shares in British semiconductor and software design company, Arm Holdings (ARM: NASDAQ) have rallied more than 80% in less than three months. Let's delve into the details behind this impressive surge...
Mapping the Trendline Fan
Arm’s rally from its mid-April lows can be characterised by a series of higher swing lows. Mapping these swing lows without...
USD/JPY is back trading at a critical level after continued weakness in the Japanese Yen. The pair gathered strength last week following renewed strength in the US dollar, but momentum will likely struggle from here as the 160 level comes into reach. After easily breaking above 150 in April, Japanese officials set the 160 mark as their new target for FX...
Welcome to the fifth and final instalment of our Brilliant Basics series. Here, we provide you with a powerful Pre-Trade Checklist that can be applied to any trading strategy on any timeframe.
Pre-Trade Checklist: A Platform For Success
Our Pre-Trade Checklist involves asking yourself five simple yet crucial questions before committing your hard-earned...
The Bank of England (BoE) will announce its interest rate decision and publish the Monetary Policy Statement on Thursday at lunchtime. Let’s delve into market expectations and the positioning of GBP/USD ahead of this pivotal event.
Sticky Services Inflation
Last month, the BoE teased the idea of a rate cut as early as June. However, with economic growth,...
Apple’s (AAPL) share price surged to a record high last week, driven by the tech giant’s recent foray into generative artificial intelligence (AI). As investors celebrate this milestone, questions arise about how much higher Apple can go and whether this momentum is sustainable.
The Catalyst: Generative AI and iPhone Upgrade Cycle
The excitement behind...
The CAC 40 suffered its worst performance in over two years last week. The political turmoil stemming from the European elections caused the French stock index to drop over 6.5% from the open last Monday as French president Emmanuel Macron called a snap election after the bad results in Sunday’s polls.
The index fell 2.7% on Friday alone as polls showed Marine...
The CAC 40 suffered its worst performance in over two years last week. The political turmoil stemming from the European elections caused the French stock index to drop over 6.5% from the open last Monday as French president Emmanuel Macron called a snap election after the bad results in Sunday’s polls.
The index fell 2.7% on Friday alone as polls showed Marine...
Welcome to the fourth instalment of our Brilliant Basics series, where we help you achieve consistency and discipline in foundational concepts that create a platform for long-term success.
Today, we’re diving into the world of Multi-Timeframe Analysis (MTFA) . We will explore how to use different timeframes effectively and consistently to gain a deeper...
Gold dropped more than 80 points on Friday 7th June due to a resurgent US dollar – taking the precious metal back to a key area of support. Let’s take a look at the various trading opportunities that may present themselves at this key level.
Daily Candle Chart Analysis
Gold’s daily candle chart is locked in a long-term uptrend with prices trending above...
EUR/USD has gapped lower after French President, Emmanuel Macron called a snap election following shock results of EU parliamentary elections in which far-right parties made strong gains. Let’s take a look at the ways we can trade negative gaps of this nature.
Method 1: Gap and Go
The ‘gap and go’ method of trading price involves taking advantage of the...
The bullish drive has been revived in US equity indices after a few weeks of downside pressure. The S&P 500 and the Nasdaq both broke to new highs on Wednesday driven mostly by technology stocks. The ADP May employment report also helped revive some buying appetite as it came in below expectations. There isn’t a very good correlation between the ADP data and the...
Welcome to the third instalment of our Brilliant Basics series, where we help you achieve consistency and discipline in foundational concepts that create a platform for long-term success.
Today, we’re harnessing the power of moving averages. We will explore how to use them effectively and consistently to enhance your trading.
Moving Averages: Momentum Versus...
