BANG, Target Hit!!

Good Morning Dynamic Traders

Welcome to a very wet start to the end of week!

I am going to start by apologising to Zaheer for not giving him riddle yesterday, sorry dude totally forgot!!

Yesterday price did hit my target area. Why? Like I said yesterday, price is currently playing in the channel and the signals from the MACD and from the RSI were giving us the indication of what price was going to do?
You will see from the hour chart below that once price hit my target area, it came straight down, but instead of using the channel line as support it used the Value Index as a support line. The Value Index then mothered price until it was strong enough to beat the RN and then soared straight up for the sky. You will notice a bearish candle in the middle of the climb up, this is because of the next RN price came across, which also happens to be a previous S/R line.













On the daily chart you can clearly see another channel in which price has been playing in. In the 4 hour chart below you can see the 2 channels from the daily and from the hour chart. From our previous experience on the hour chart we could draw a similar conclusion that price will still climb and would be heading towards the resistant line that forms the top line in the channel.














If price does climb to the top of the channel, will it stop and drop, or will smash through?
Find out on Mondays update!

Hope you all have a great weekend

Happy Trading

Richard Monnery

How much longer will we be singing a "Loonie" tune?

Good evening ladies and gentlemen

I hope you all had a successful day in the markets. The weather took a turn for the worse today here in London which usually has an affect on people's emotions but this should not have affected our trading due to our mechanical approach!!!

So lets get on with this. The Loonie did as we anticipated and reached the RN before retracing at an appropriate time! The day looks like finishing on a doji so what could this mean? Is this a sign of a reversal towards the RN it has found difficult to penetrate? Stochastics is OS and the signal lines look interesting but MACD has been doing higher lows! However, there is a convergence on MACD as well! Interesting times lie ahead!

Below is the 5 min chart. Todays action again presented us with an opportunity to collect pips on another decent towards the RN. After bouncing upwards at 2am just a few pips from this support, price then diverged through the night. Added to the DT and a candlestick reversal (and a strategically placed stop!!), we were rewarded with a welcome handful of pips from trusting our analysis!! Price then spiked through the support before doing a reversal as the SM would have anticipated!! Stops would have been tightened to lock in maximum profits!

Alright Rich! Yeah it looks like its still on! You are right! Tough result to call though Utd Gunners! Ronaldo doesn't do much but has a knack of popping up when it counts!

The anwer to my riddle was "What don't I see?"! Very appropriate for trading and something that I haven't learnt through my early frustrations in the market! However, it has only made me stronger and better!!

Good quote from yesterday but no riddle for me today?! Hmmmmmm....

My riddle for today is "The only way to ____ your life is to make a real _____"!!

Till tomorrow

Abundance is your Birth Right

Zaheer Anwari

Channelling the Swiss

Good Morning Dynamic Traders

Hope your all having a good week!!

Yesterday we got an understanding of what the CHF has been getting up to over the over recent weeks.
What I would like to do now is to go into more depth today on what the price has, could, and will be doing.

In the hour chart below you will notice that I have drawn 2 lines making a channel. This is because as price has been moving up and down it has stayed within these support/resistant lines. This could help with trying to work out where price could be heading next. You can see that I have also marked out a target area for price, which I found with the help from the RSI, which is above the 50 line and looking up and with the MACD’s buy signal.

I was intending to use the daily chart and go into more depth about the CHF and what could be happening, but I have decided to wait till tomorrow to see if price does hit the target area first.

Remember always do your own analysis!!

Happy Trading

Richard Monnery

Still singing a "Loonie" tune?!

Good evening ladies and gentlemen

I hope you all had a wonderful day in the markets and managed to get what you deserve through your own analysis and SM entries! It's been a beautiful day in terms of the weather here in London and I hope you managed to get some sunshine in your day too!

So let's get on with this and have a look at our girl for the week, the Loonie. If you went in on a swing trade from yesterday you would still be singing a lovely tune by further bagging just under 200 pips today. Congratulations if you did! As aniticipated, price is heading towards the RN and is now just short of 1.2oo. Are the indicators suggesting anything we should be aware of? Is MACD creating higher highs? Is RSI nearing the mid point line? Whats are the signal lines doing on Stochastics? I will leave it for you to do your own analysis and manage this trade accordingly.!
So as always lets have a further look at today's action and see if there were any Day Walker set ups for us non swing traders to jump into. And we were not disappointed! Below is the 15 min chart and as always I looked for the C.O.E that rarely lets me down. Divergence on MACD, 123886 and a significant candlestick, namely a spinning top, all timed their appearances to near perfection. I mechanically bought my ticket for the "Short" journey towards the RN and was handsomely rewarded.




Price, since the close of play today, has been retracing! Could this be as far as it will go in relation to the RN or is their still further strength in a move south!? Only time will tell!

As always the best rewards are achieved through your own analysis! You should all have created and are sticking to a set of personalised trading rules that you will refine as you progress and master the art of trading! I hope you have all written this contract to yourself out or atleast in the process of doing it!?

Yeah sorry Rich I didn't write out the words. I had to get home for the match!! Yeah it was a top match and it is a shame we were on the wrong side of it but to be honest I want the title!! Maybe it's a blessing but if Utd go out tonight who knows!! I would like to see a Barca Gunners final from a neutral point of view!

Spot on with your answer mate for my riddle. Very appropriate to this "art" that is now a big part of our lives!

The answer to your riddle is a complete stab in the dark and I am going to go with "Change is a little thing that makes a big difference!"

My riddle for today is "What don't I _____?"

Till Tomorrow

Abundance is your Birth Right

Zaheer Anwari

Swiss Time

Good Morning Dynamic Traders

We are already half way through the week, time is flying by!!

This week I have decided to follow the CHF, and to see what joys it brings us this week!

Today I will go through an overall look at the CHF so that we can get an idea of what has been happening. Then over the next couple of days we can then start to rip apart the CHF to see where we should have been standing to catch potential profits.

In the day chart below you can see that price suffered a severe drop and has been struggling to climb back up. While price was fighting to increase you will see that the MACD was showing signs of divergence (marked accordingly on the chart below), meaning that a reversal was on the way!!

Price did indeed drop, rather abruptly I might add, but this time price found a support net in the way of the Value Index and a RN. Those of you with a keen eye would also have noticed a Fib Breather level at the same area. Since then price has been using the value Index as a support line.

Tomorrow I will go through the behaviour of the CHF in more detail!!

Happy Trading

Richard Monnery

Are you singing a LOONIE Tune?

Good evening ladies and gentlemen

I hope you all had a wonderful long weekend and are now fully recharged for the week ahead!

So our girl for the week is the USDCAD, or otherwise known as the Loonie. For the SM who had done their analysis beforehand would have had this pair on their watch list. An added incentive to keep an eye out was JM Bijal's update from yesterday on http://www.fxcps.com/.

Below we have the daily and we can see that price has broken through the trendline after the fifth time of asking. SM swing traders would have unleashed their ESLT. Where is price now heading? We have the obvious RN in our way and if it does penetrate then the VI will be the next obstacle. MACD is making higher lows and Stochastics is now OS but the signal lines have yet to cross over! So does this signal more strength in the downside before a possible reversal?! Only time will tell!!

So lets have a look at today's action in closer detail. As a Day Walker, I chose not to use the ESLT on the daily but look for a set up on a smaller timeframe! Did I find this opportunity? Below is the 5 min chart. Is there a divergence, is there a 123886, is there a candlestick of significance? The answer is yes, yes and yes!!! If you spotted this and went in, you would be singing a loonie tune to a nice hand ful of pips! Depending on your style and the chart you went in, your management would have determined whether you are still in this trade or not! If you missed this or got stopped out, be patient and smart and another money will present itself. As our mentor once told me, standing aside is also a position!

Since the final whistle to end today's play, price has reversed. Could this be a retracement before price continues south?!

Alright Rich! Feels good to be back doing these updates! Hope you had a top weekend sir! I did a bit of research and I believe you are a Saints fan!?

Spot on with your answer mate!! The answer to you riddle is another by the World's greatest Mr (or sould it be Sir?!) Mohammed Ali! Good choice mate!!!

My riddle for today is "____ is the sum of small efforts ____ day in and day out!"

Till tomorrow

Abundance is your Birth Right

Zaheer Anwari

Round Up Time

Good Morning Dynamic Traders

Hope you all had a great Easter Weekend!! I’m going to sign off from following the EURGBP today and I'm going leave you with some food for thought on what price might do next!
Last week price has continued its down trend and seemed to of found some help with the RN which only appears to be slowing price down rather than reversing the direction of price.

In the 4 hour chart below we have convergence on the MACD that can be seen quite clearly!














This convergence is also forming the hour chart, which I have highlighted on the chart below.














If this convergence does form we should notice price get a little stronger, and with price hovering around the RN it will be very interesting to see whether it is enough to change the direction price or will it just provide us with a breather before it drops anymore. What do you think?

Tomorrow I will choose another currency for us to follow.

Happy Trading

Richard Monnery