6B1! trade ideas
GBPJPY: Potential ending diagonal C at resistanceWe have a potential short setup in the Pound/Yen, where a time at mode uptrend might fail against resistance.
Price also appears to be completing a rising wedge, so if indeed valid, the move down will be very sharp and lead to a retest of the lows in 1/3 of the time that it took for it to go up.
I've used the futures symbols as a ratio to give me an indication of volume activity.
The volume profile is a very handy tool to spot support and resistance levels, and have a good grasp of the underlying accumulation and distribution patterns on chart, if you know how to read it.
You'd need a pro plus account here, but I think it's 100% worth it.
Feel free to stop by the "Key Hidden Levels" chatroom here to discuss this and other instrument ideas with Tim West, the mastermind behind the core of my technical repertoire, and also a great person, trader and mentor.
I'll cover this and a host of techniques over at my trading room skype group, and also via one on one skype lessons for people that are interested. The group membership includes free signals for auto trading as well.
Contact me for further details.
Cheers,
Ivan Labrie
Time at Mode FX
GBPUSD showing strength inside an uptrend channelThe chart tells a story and the story unfolds bar by bar.
The weakness on the previous analysis (see link below) was not confirmed, the market failed to close lower on the next weekly bar.
British pound - Very close to a reversalThis time I will use the futures contract, in order to see the volume. I have worked with LazyBear over the weekend on a new tool, and I want to thank him for his amazing work!
Looking at the weekly chart, there are strong hints that a reversal is coming. The Force Index, tuned with some Keltner Channels (which took a lot of work) tracks the reversals. The oversold condition, combined with climactic action from the Weis Wave, combined with extreme deviation from value provides reason for going long.https://www.tradingview.com/x/yEFSDCqy/
Moving to the daily chart, the picture is simply fantastic. There is a massive bullish divergence on all momentum indicators.
The activity on the Weis Wave is as high as it gets. Very high waves, with lack of progress to the downside. Down Waves are larger than up waves, which signals that there is no reward for all the selling.
Going over the last 4 volume bars on the chart, that is 29.10.2014 - 03.11.2014, the first candle is bearish, with a high range, with volume higher than the previous days. However, the later 3 candles are bullish, and the volume on them is even higher than the strong down day. Is professional money buying or selling?? Probably buying! This is a new technique that I'm learning, so take all this with a pinch of salt. Reading volume is much harder than people believe.
Cable (update)The British pound (B6U) is in a clear bull trend with consistent frequency of patterns. Price has retraced during the last three weeks and has NOW reached the hot spot. Lower // line and 20EMA are giving support. The final target is 1.7500 in Sept 2014, then Scottish referendum could reverse the trend or even push the pound higher! I see this trade related to the UK stock market (FTSE100) which is currently trying to brake major resistance.
Super British Pound - frequencyI don't normally trade British Pound because I find it tricky most of the times but what I see here (B6U) is a clear bull trend with consistent frequency of patterns. The recent flag which have formed between the 20MA and the bull median line gives a good entry point and risk/reward ration. The final target will be in 1.7500 in Sept 2014. Then Scottish referendum could create some mess or even push the pound higher! I see this trade related to the UK stock market (FTSE100) which is currently trying to brake major resistance.
British pound heading northBig picture showing where the British pound is heading towards the US dollar. 1.73?
GBPUSD - D1 - Trend AnalysisI have published a GBPUSD trend analysis daily chart. This futures chart is supporting the analysis published in the other chart.
The Cable is strongThe Cable has finally moved out of a 3year long channel and recently crossed 1.6250 resistance. The trend is up and we should target 1.6600 first and 1.6900 by the end of the year. The current bull flag could extend for few days more and offers the opportunity to enter long with a high probability trade.
British pound outlook - still bright?Weekly chart - this is where we are with the pound. Bull trap or bull run?
