Archives for February 2023

The EURUSD moved higher early in the London session, formed a lower high and began to move lower with momentum and some solid overhead structure.

A short was taken risking 15 pips for a potential 46 pips to our daily target at 1.0665. Price moved to its Asian session low, paused awaiting the U.S. economic releases then moved lower to our target area where we exited the trade.

Tomorrow we have four major U.S. economic releases early in the session – expect volatility.

Monday trading a GBP long was rewarding, but not quite a 2:1 reward for the risk, so I didn’t post it. Tuesday, I closed a long JPY trade too early for a minimal gain not liking the volatility.

We’ll find out tomorrow if the U.S. economy still continues its strong pace or if any cracks are appearing.

Good luck with your trading!

A very bullish candle above its Asian session low set up a long trade in the USDCAD risking 10 pips for a potential 75 pips to our daily target at 1.3455.

An hour before the U.S. session overlap often sees a retracement or profit taking. The USDCAD had been very quiet in the U.K. session and now looked liked it would extend to the upside. There were three technical barriers on the way to our target. The first was the 1.3400 figure followed by technical resistance at 1.3417 and 1.3440.

Price moved higher going into the U.S. open then traded sideways finding support at the Asian session high. It then caught a bid and moved to our third resistance area – from the 4 hr. chart – where it appeared over-extended. We closed the trade on the downtick to protect our profits.

Having given up profit yesterday on a EURUSD short and then getting stopped, I was not in the mood today to give back any profit or to trade the pair.

Thursday’s U.S. Initial Jobless Claims will be closely watched by traders.

Good luck with your trading!

A fairly light news day for economic releases to begin the week and the USD remained strong.

There was an initial move lower after the U.K. session got underway, followed by a pullback going into the U.S. session overlap. As the EURUSD began to move lower again, a short was taken risking 20 pips for a potential 77 pips to our daily target at 1.0680.

Price moved lower to the 107.25 area before some profit taking going into the European close. The final two candles of the U.K. session had the pair trying to extend beneath the 1.0725 level and we closed our trade as the U.K. session ended.

This was a fairly easy trade to enter as the hourly and daily charts already had confirmed downside momentum.

Good luck with your trading!