Watch these 4 FX pairs
FX markets have been rolling sideways
for the past week and counting. Mind you, these rolls do consistently offer
short-term players +50 pip to +100 pip opportunities more sessions than not.
Many of those swings happen in the European session when U.S. traders are mostly
asleep, but some viable swings occur during the U.S. market shift.
Overview:
GBPUSD (+$10 per pip)
British Pound gave two recent short signals,
one in the wee hours EST Tuesday and a second short near 4:00pm EST same day.
Each trade went +100 pips and +65 pips respectively before coming back up to
entry.
This morning we’ve had a series of long trade
signals stabbing back upwards toward 7700 resistance. Path of least resistance
remains downward, but that means little to FX markets when they’ve moved
sideways for awhile.
EURUSD (+$10 per pip)
Eurodollar (coverage by popular request) gave
the same sell signals yesterday afternoon, which worked modestly lower before
coming back in gyrational fashion. Long signal off support confluence of chart
tools near daily pivot (navy blue) made long 2105 area a viable play on
short-term basis.
USDCHF (+$8 per pip)
Swiss Franc gave buy signals that barely worked upward from there, then smashed
back thru pivot support to trade modestly lower. Since the time this chart was
captured, CHF lifted into a sell trigger near 2770 (not shown) and coils below
that confluence of resistance as I type.
USDJPY (+$9 per pip)
Dollar-Yen (coverage by popular request) traded
bullish yesterday, as did the EURJPY. Break below key support levels and then
the daily pivot after that has USJY on sell signal from 115.30 at this time.
{Price levels noted by arrows in charts above
are compiled from a number of market measurements}
Summation
Currency markets are rolling sideways, no sign of the next
directional burst which we know for a fact is coming. When and which way are the
questions, as always. Currency markets do not sit in congested doldrums for
months on end… too dynamic for that. There are extended periods where FX
markets to consolidate, and this may be one of them. Next big catalyst for a
trend move could be the FOMC event at month’s end. A few economic reports
between now & then have potential to cause short-term surge moves, that’s about
it.
As always, outside factors unknown to the
markets at this time could emerge without warning. Our job is to monitor the
charts, take clear entry signals when visible and let price action play out from
there. Once the next trend move is clearly under way, playing pull back
continuations in harmony offers high-odds potential to ratchet up the equity
curve. Until then, we probe and prod at key locations on the chart.
Trade To Win
Austin P
(Free
video clip lessons…
open access)
Austin Passamonte is a full-time
professional trader who specializes in E-mini stock index futures, equity
options and commodity markets.
Mr. Passamonte’s trading approach uses proprietary chart patterns found on an
intraday basis. Austin trades privately in the Finger Lakes region of New York.