Consolidation breakout on USD/JPYAs pressure builds up in the consolidation channel outlined on the chart the likely breakout direction is upwards.
Consolidation-breakout
EL shooting star reversal candleEL has been cropping up on my lists quite a lot recently - overall it is an upwardly trending stock and has been since 2009/2010. However, the trend is not at all easy to trade - even for a longer-term trend trader.
There have been many periods of extended consolidation - the duration (rather than the depth ) has been the main sticking point. In the last few months (since breaking above the 2014 high) the trend has become at little more linear - but not enough to feel confident for a straightforward trade.
Yesterday price gapped up on higher volume (and the earnings announcement) but the shooting star candle was extremely bearish. This suggests a reversal (at least in the near-term).
While I anticipate EL continuing to trend up it is not a stock which is simple to trade. I will bypass this one at this stage.
EURGBP: Consolidation PhaseThis pair has been consolidating since late last week between 0.7225 and 0.7165. Breakout traders can lookout for a potential breakout trade.
I would love to hear your opinion, feel free to comment, agree or disagree.
------------------------------------------------------------------------------------------------------------------------------------------------------------------
Always wanted to connect, learn and help one another throughout your trading journey? Join our community for FREE at www.facebook.com The only thing you need to 'pay' is your commitment to trading and sharing!
Have a great pipping day!
www.fxpipsology.com
www.facebook.com
Cheers,
KY
Joining the EUR/GBP downtrendEUR/GBP is seen to be trending below the 50 ema in an aggressive fashion. A potential entry to join the downtrend on the 1 hour chart lies between the levels ~0.7000 and ~0.7080 which nearly coincide with the declining 50 and 20 emas respectively.
A formation of a high test bar/reversal pin bar/shooting star will be a sign of a short set up at either 20 ema and 0.7080 (Scenario 1) , or 50 ema and 0.7100 (Scenario 2) . Other signals include consolidation and breakout after multiple tests below resistance or in the resistance zone , or double top formation within this area (Scenario 3) .
JWN Breakout of consolidationJWN is in a solid uptrend with the MA's lining up parallel since quite a while. Since breaking out of its last consolidation, it rallied up about 13%, before consolidation again for just short of 3 months. It broke out on a very bullish day with huge volume and has retested the prior resistance. It's now forming what seems to be a bull flag, with a nice volume contraction. Both the measured move from the flag and from the consolidation channel would point to a move towards 86 or a little less. That would yield a profit of about 5 %, a stop just under the flag or slightly below the resistance turned support would give a 2:1 risk reward trade.
Happy trading!
NOW get short nowThe enterprise software company's Q2 earnings met analyst estimates, and ServiceNow raised its revenue forecast.
But ServiceNow stock was down.
Technically we had wide wedge that gave good buying opportunities with reversal candles (check my long ideas in the links below). But fow now, stock resolved its indecision pattern to downside on increasing volume. Combine it with overall market that entered into correction and that is how you get high-winning trade. I like how it holds near lows of its recent move down, while market bounced off a bit from lows - relative weakness. Plus well defined stop above $56.25, as 8 EMA is in control with target at $48.70, then $46.00 make yhis trade attractive from Risk/Reward point of view.
Gold acceleration on tension in Iraq and Fed decisionGold seems to be a haven asset for investors in terms of tensed siituations all around the world. Iraq is a key oil market player and there also is a difficult situation. Rebel activity in the North of the country has forced the U.S. to send to Iraq 300 military advisers. From the point of view of technical analysis there was a lot of tips and trading signals. After the 2 months support consolidation of $1280 break up, Gold fell down and found its low of $1240. We had lots of levels to push off ($1240, $1250, $1260, $1270), and also the break ups of resistance. There also were some trading opportunities when the yellow metal reached its potential resistance rate of $1280-$1285 and then it fell to $1258. Buyers have restored a support rate of $1264 and also a 8/21 EMA. Struck $1272 and resistance in control of the movement of the moving averages reached the previous high penetration which attracted a lot of buyers. The price fastened and set a high of $1321 in an inflamed move. I’ll use Fibonacci levels to measure the buyers’ strength. The higher they hold up the price, the more chancese for an upward movement resumption there would be. The first potential support is around 38% 1306.59, and $1302 after that.
Check my previous ideas on Gold in the link below
