Waiting Game

Good Morning Dynamic Traders,

Hope you had a great weekend and made the most of the beautiful weather.

Like many of you, I am waiting for price on many currency pairings to finish their pulls backs and to give me an entry. Just like Zaheer is waiting on the CADCHF.

This means that I don’t really have too much to report on my personal trades. However I thought I would carry out an update on the NZDJPY. Last Thursday I spoke about the USDJPY and this cross is slightly similar.
From the day chart below you will see that price has broken above the VI and is currently heading back down towards it. There is an argument that says we could maybe enter a long position and enter on the pull back with the tag of the VI. This is a rather aggressive approach, however this may not be the best idea, why do think I’m saying this?













Answer.........

If you zoom out on your own esignal you will find your answer......Price has been consolidating for quite a long time now, which means that it may be more beneficial to wait for a breakout to enter a long position or short for that matter. Entering a position for the long term wouldn’t be advisable because price isn’t sure right now what it is doing.

I hope you had a great and profitable week.

Carpe Diem

Richard Monnery