Tag Archives: breakout trading

Tuesday Charts to Watch

Good morning. Dollar resumed rally after Friday’s NFP and the euro declined from 1.31 area to 1.2955.

EURUSD

It was a good plan to hold short ahead of Friday’s NFP, and I believe that current pullback is corrective, as EUR is showing signs of exhaustion after recovering from 1.2950 area to 1.3050 – currently trading around 1.3015

Market sentiment: intraday – bearish, short-term – bearish
Potential trade strategy: to sell into rally around 1.3050, stop above 1.3100, target at 1.2950

EURUSD hourly 3-12-2013

EURUSD hourly 3-12-2013

EURJPY

Former resistance formed by the downward trendline connection recent lower highs provided support on pullback, as expected in my previous post. Next support is formed around 125.00 – buying at this level is a plan to consider

Market sentiment: intraday – bullish, short-term – slightly bullish
Potential trade strategy: to buy dips around 125, stop below 124.50, target at 126+ Continue reading

NFP Day is Here: Friday Charts to Watch

Good morning. The euro had a good run yesterday after Draghi’s comments, who said that eurozone’s economy will stabilize this year. EUR holds onto gains ahead of today’s NFP data.

EURUSD

Yesterday I was rather expecting this former resistance range between 1.3050-1.3100 to hold, but after such strong declines – “more-than-modest” or even strong corrections are common. Although the resistance was breached, I have doubts that this is the beginning of a prolonged recovery. So my yesterday’s plan to sell in the 1.3070-1.3100 zone is still in play.

Market sentiment: intraday – bullish, short-term – bearish
Potential trade strategy: to hold short, stop above 1.3150, target below 1.2950

EURUSD 4hrs 3-8-2013

EURUSD 4hrs 3-8-2013

 

EURJPY

Yesterday’s recovery above the highlighted resistance zone suggests that more upside action is likely, hence I’m changing plan after yesterday’s failed sell and I am now considering a buying opportunity on potential pullback to 124.00 area

Market sentiment: intraday – bullish, short-term – slightly bullish
Potential trade strategy: to buy dips around 124, stop below 123.20, target at 126+ Continue reading

Charts to End the Week

Good morning. Dollar weakened across the board against most counter-parts, except JPY, as the Fed announced a new round of quantitative easing. Here’s what’s worth a look today

EURUSD

Buying on break of 1.3015/30 was a good idea, as EUR keeps climbing and is now flirting with resistance around 1.3100. Upside remains favored for now

Market sentiment: intraday – bullish, short-term – bullish
Potential trade strategy: to buy dips on pullback to 1.3050, target at 1.3150

EURUSD hourly 12-14-2012

EURUSD hourly 12-14-2012

Resistance around 1.3100 is more visible on the daily chart:

EURUSD daily 12-14-2012

EURUSD daily 12-14-2012

USDJPY

Yen continues to lose ground across the board and the dollar is approaching resistance around 84.30 against it.

Market sentiment: intraday – bullish, short-term – bullish
Potential trade strategy: to hold long, target at 84.50

USDJPY weekly 12-14-2012

USDJPY weekly 12-14-2012

Notice immediate support levels on the 4hrs chart:

USDJPY 4hrs 12-14-2012

USDJPY 4hrs 12-14-2012

NZDUSD

The kiwi dollar continues to push to the upside but it’s probably time for a correction soon. In that case, buying dips around recent support is a plan to consider

Market sentiment: intraday – bullish, short-term – bullish
Potential trade strategy: to buy dips in the .8320 area, stop below .8260, target at .8420

NZDUSD daily 12-14-2012

NZDUSD daily 12-14-2012

EURAUD

Trenline support is still intact after recent test and my plan to sell on pullback to 1.2350 was a bad idea. However, I’m still looking to sell, but this time I rather do it on the breakdown below highlighted trendline

Market sentiment: intraday – slightly bullish, short-term – bearish
Potential trade strategy: to sell on break below 1.2300, target at 1.200

EURAUD daily 12-14-2012

EURAUD daily 12-14-2012

GBPAUD

Horizontal support around 1.5270 still holds, but I don’t “trust” it much, so I’d rather sell on breakdown

Market sentiment: intraday – bearish, short-term – bearish
Potential trade strategy: to sell on break below 1.5270, stop above 1.5330, target at 1.5170

GBPAUD 4hrs 12-14-2012

GBPAUD 4hrs 12-14-2012

have a great weekend!

Midweek Charts to Watch

Good morning. I’ve been away for a while, but looking at current charts, it doesn’t seem that I missed anything interesting. Let’s take a closer look at today’s charts to see if there are any good trading opportunities.

EURUSD

EUR looks bullish against the USD on both intraday and short-term basis, so buying dips in case of a correction to 1.2950 or buying on the break of 1.3000/15 intraday resistance are two plans to consider. Maybe today’s Bernanke’s speech will be the catalyst fueling a dollar decline?

Market sentiment: intraday – bullish, short-term – bullish
Potential trade strategy: to buy dips on pullback to 1.2950, target at 1.3050+. Second plan is to buy on rally above 1.3015/30, target at 1.3100

EURUSD daily 12-12-2012

EURUSD daily 12-12-2012

hourly chart: Continue reading

Tuesday Charts That Matter

Good morning. The euro keeps climbing higher, flirting with $1.300 on Greek optimism. Bernanke’s speech is today’s notable event

EURUSD

As seen on the chart below, there are no important barriers up to around 1.3130 which is the recent top.

Market sentiment: intraday – bullish, short-term – bullish
Potential trade strategy: to buy dips at 1.2950, target at 1.3050+

EURUSD daily 11-27-2012

EURUSD daily 11-27-2012

GBPUSD

Cable is still trading within the downward channel but is now testing resistance formed by the downward trendline connecting recents highs. So the question is whether the channel will remain intact or not. A daily close above the resistance is what I’m looking for before considering a bullish position

Market sentiment: intraday – bullish, short-term – bearish
Potential trade strategy: to buy after a potential daily close above 1.6050-1.6100, target at 1.6250 Continue reading

Midweek Charts to Watch

Good morning. EUR declined overnight on disappointing Greek aid-talk results.

EURUSD

EUR found temporary support between the two fib lines highlighted in the hourly chart below. However, it’s probably a safer trading plan to look for selling opportunities on rally to $1.2800

Market sentiment: intraday – bearish, short-term – bearish
Potential trade strategy: to sell on pullback to 1.2800, stop above 1.2850, target below 1.2700

EURUSD hourly 11-21-2012

EURUSD hourly 11-21-2012

EURJPY

There’s a good chance that the EUR will keep climbing above 103.50-104 due to yen’s weakness across the board these days.

Market sentiment: intraday – bullish, short-term – bullish
Potential trade strategy: to buy at 104.00, target at 106 Continue reading

Thursday Charts

Good morning. Euro recovered some ground across the board mainly due to EURJPY rallying on prospects Japanese elections next month will result in aggressive monetary easing. USDJPY also rallied well above 80.00 – reaching levels last seen in April. There are several important economic events today, such as the US CPI, initial jobless claims and – more importantly – Bernanke’s speech.

EURUSD

Resistance at 1.2775/00 is still intact after recent test, when a reversal candle was formed

Market sentiment: intraday – bearish, short-term – bearish
Potential trade strategy: to hold short while 1.2775/00 is intact, target at 1.2600

EURUSD hourly 11-15-2012

EURUSD hourly 11-15-2012

EURJPY

The reversal candle formed near support at 100 is the one I was waiting to see in my previous article. What happened next was an 200+ points rally.

Market sentiment: intraday – bullish, short-term – bullish
Potential trade strategy: to hold long, target above 104 Continue reading

Tuesday Charts of Interest

Good morning. The last few days have been bad for the euro as it retreated against its major counterparts across the board.

EURUSD

Former support at $1.2800/20 was easily breached and there is no sign of relief ever since. Should the euro recover some ground though, it’s quite possible that more sellers are waiting in line to pull it lower.

Market sentiment: intraday – bearish, short-term – bearish
Potential trade strategy: to sell on pullback to 1.2730, stop above 1.2780, target at 1.2600

EURUSD daily 11-13-2012

EURUSD daily 11-13-2012

hourly chart:

EURUSD hourly 11-13-2012

EURUSD hourly 11-13-2012

EURJPY

Support at 100 is again in focus after several failed attempts to break above 104. There are two scenarios to consider: 1 – EUR forming a reversal candle around support, hence a buy signal or 2. strong decline below 100, hence a sell signal

Market sentiment: intraday – bearish, short-term – bearish
Potential trade strategy: to buy around 100 in case of a reversal candle formation or sell on breakdown below 100 Continue reading

Tuesday Breakout Trading Opportunities to Consider

Good morning. Aussie dollar is rising across the board after the RBA kept interest rates at 3.25% instead of cutting to 3%, as widely expected. The euro is losing ground on more Greece worries. The U.S. Election is definitely this week’s most important event. There are some nice breakout trading opportunities to watch in the coming sessions:

EURUSD

Euro breached below support at 1.2820 and there’s no sign of relief yet; therefore selling on minor intraday pullbacks to the upside is, in my opinion, the best thing to do in the coming sessions

Market sentiment: intraday – bearish, short-term – bearish
Potential trade strategy: to sell on pullback to 1.2820, target at 1.2620

EURUSD daily 11-6-2012

EURUSD daily 11-6-2012

EURGBP

Although the daily chart is obviously bearish, there are some clues on the 4hrs chart suggesting that a temporary bottom is being formed. If that’s about to happen, then buying on the rally above .8010 is a strategy to consider. Meanwhile, holding short should be just fine

Market sentiment: intraday – bearish, short-term – bearish
Potential trade strategy: to hold short while below .8010, target at .7900; but also considering a buying opportunity on the break above .8010 Continue reading

NFP Day is Here: Charts to End the Week

Good morning. The NFP day is here (consensus is 125k and 7.9% unemployment), so let’s take a look at some of today’s interesting charts

EURUSD

Support at 1.2880/00 is under pressure as EUR failed to recover above $1.300. More losses are likely

Market sentiment: intraday – bearish, short-term – neutral
Potential trade strategy: to sell on breach below 1.2880, target at 1.2800

EURUSD 4hrs 11-2-2012

EURUSD 4hrs 11-2-2012

EURJPY

Resistance around 104.00 is in focus today as the Japanese yen continues to weaken across the board. A breakout trade is rather tempting

Market sentiment: intraday – bullish, short-term – bullish
Potential trade strategy: to buy on break above 103.90/00, target at 105 Continue reading