EUR/AUD Technical analysisThe counter is currently in range bound movement in the short-term charts.
The MACD indicator is also showing signs of great negativity in the counter.
Hence, we expect the pair to be bearish in the short-term.
Rangemovement
How to use RangeMovement (RgMov) to trade the trendFor the subscribers to Key Hidden Levels:
Background info on the chart: Green arrows with lines to the right are "earnings releases" which I call "key hidden levels". The "volume profile" begins from the Presidential Election.
The red line near the bottom is the RgMov indicator (Range-Movement).
TREND: Determine the trend. The trend is when RgMov is hitting 44-bar highs or lows. RgMov is comparable to a running line showing how easy the market moves in either direction. RgMov is a running line of the market's movements which push up through resistance or down through support. From a sentiment perspective, rising prices increases bullish sentiment for a market, obviously. People get bullish when resistance gets taken out each day.
I found it makes sense to let RgMov tell you the trend (44 bar high = uptrend or 44 bar low =downtrend ) and then on a lower time scale such as 11 bars, find entries against the trend to enter the market. Note the green box at the bottom of the CCI(11) oscillator at the bottom of the chart. The idea is to buy on the 11-day (1/4 of the time) time frame when CCI gets oversold at -100 and exit when +100. I also recommend buying a cross above a previous day high when the market is oversold. You can also exit any way you want: such as using trailing stops under a previous day low or under a 10 day moving average of the lows. There are many ways to exit and you can split your exit across a variety of methods.
The profits from doing this rack up over time. We just need to stay disciplined. We chase other methods when there are times when this isn't making money. But if you learn it, apply it, and commit to it, over time you will see the light.
SP500 SP1! Monthly PATTERN suggests sell in DecemberThe S&P500 has a pattern that is extremely interesting.
I've devised an indicator I call Range-Movement, which I say Range-Move and shorten to RgMov on the chart below. It measures the way the market is moving and compares ranges to ranges, side-by-side. It also gives very interesting indications of TREND and sometimes more importantly it shows the level of "psychology" in the market.
Oddly enough, all of these 5 signals allows the market to fall a little in the current month (September 2015), but then rebound in the next two months into November.
So, we can say with decent probability that we can rebound after this month but sorry to say that we can decline this month too. At the end of September we can look for a bounce since in each occasion there is a bounce after the next month ends.
The way to trade it is to buy the end of September, and then hold for 2 months. Then trade the breakout of Novembers range. Buy a new high over Nov's range or sell short a break down through Nov's low.
The average winning trade here is quite sizable:
1a. Sold 459, covered 476. 4% loss.
1b. Buying over 3rd month high gets you long in March 1995 for the bull market. 100%+++ gain.
2. Sell short under 3rd month low gets you short for a major bear market into 2003 = 38% gain.
3. Sell short under 3rd month low gets you short for a major bear market into 2009 = 45%+ gain.
4. Sell short under 3rd month low (November 2015)....
So, sorry for the "heads up" this early. But just wanted you to see what patterns the market is revealing to me.
Tim
