And here’s where I start to feel confused again and I get frustrated and feel like I don’t know what I’m doing (again? Still?). A couple hours before the close yesterday, equities dropped pretty significantly, and pushed down back to almost within the range it was in prior to “breaking out” on Monday — at least back below the highs from early June that had held up as resistance.
Today, futures are down a decent amount, still within that range, but that begs the question: Will equities become weak now, or will they gap down and push up to the week’s highs once they open… I suppose this is something I should talk to my coach about, and in the meantime, I’m going to take the charts at face value. It’s Friday, so I’m not sure if I’m going to trade anyway.
USD – S – It has a bit of room before the point I’d be more comfortable entering at, but it looks to be heading in that direction. After pushing down strong on Tuesday, this has based since then. If it can break the lows of this base, it could make a good short. I’ll have to look at individual charts to see where that may occur
CAD – N – This is down today, which is a good sign, but it’s still a ways off of the new lows that it made last week — which is where I’d want to enter a CAD trade. The MA’s are starting to level out and this looks to be basing again, too, so I’ll hold off on CAD for a bit
Today’s Pairs
EUR/USD – Long
USD/CHF – Short
EUR – L – This broke to new highs again this morning, but have pulled back off of those highs. Hopefully this offers a good entry/stop point, and I can make some pips off of EUR
GBP – N – This appears to be ranging again. This is up near the 50MA again, but isn’t really breaking through that level. That said, the MA’s are starting to level out if not curve upward. I’m going to leave this alone for today and revisit next week
JPY – N – This spiked yesterday (and was up the day before) but it has stalled out at an area of resistance that was previously pretty strong support. I’m not ready to take JPY long — not at this juncture, and since it’s up so much, I’m not going to look to short this, so I’ll hold off for now
AUD – N – This is almost an upside-down JPY. This dropped pretty significantly yesterday and is down so far again today, and pushed back to within the long-term range it was in from Mid-June until Tuesday. It has rallied a bit off of the lows, and is sitting right on top of the range at a support level that was previous resistance. I’m going to leave this alone for today because I don’t feel comfortable trying to short this even to the bottom of it’s range. Maybe next week, but not today
NZD – N – This dropped over the last two days as well, is sitting on some support, but mostly sitting at the long-term trend-line I drew which is also the 20MA. I’m not comfortable shorting this today and I don’t want to take it long with all of the weakness behind it, so I’ll hold off until next week
CHF – L – This broke out of the range it’s been in since June to new highs today, but has pulled back and is sitting right on top of those levels. If this pushes up again and out of the day’s highs, it could offer a decent amount of pips. I’ll take a look at individual charts to see how this looks