Great Trade Setup on the AudUsd 100 Pip Trade

Really great setup on the AudUsd today during New York session.  Take a look at what I consider the best setup I’ve seen this month.

TraderCisco

Yen strength and the Bank of Japan

Just my opinion, so take it for what it is worth.  I’m seeing a lot of comments from newer traders about how this is a great place to go long the UsdJpy since we are getting close to lows not seen for over 13 years….. that MAY be true.

However, I recommend taking a close look at what is going on with the Bank of Japan and the hands off view they have had as of late.  They continue to state that their main concern is volatility in the currency not strength at this point.  Yes their currency is getting stronger but at a steady rate not with wild swings.

The BOJ seems content to allow the U.S. economy to strenghten over the next few months or quarters.  This will in turn allow a bit of an equalization to occur between the US dollar and the Japanese Yen.

My main thought it to trade what you see and not trade based on some preconceived notion as to what you ‘think’ the market should do.  From a price action stand point, I’m not seeing a lot of reasons to look long, and from the fundamental comments I’m hearing I’m not seeing the Bank of Japan too excited to step in at this point.

Here is a quote from a recent Wall Street Journal article.  “The tone of Mr. Noda’s remarks was similar to that of his comments from last week, and market players said that suggests the MOF is still a few steps away from taking action through the Bank of Japan to curb yen gains.”

All I’m saying is don’t bet the house on the BOJ stepping in….. yet.

TraderCisco

Trade of the Day: GbpJpy July 28

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Here is a quick video showing how well Fib levels have worked over the last couple of days on the GbpJpy.  Let me know if you have any questions.

TraderCisco

UsdJpy Video Using Fibo’s for Trade Setups

Here is a quick video on how you can find great setups using fibonacci levels. Hope you find this insightful.

TraderCisco

EurUsd- Are we about to confirm a bullish trend?

Hello Traders,

I’m seeing some interesting movement on the EurUsd.  Hoping to see one more test of the 1.2485 to start building a long position.  Let me know your thoughts.

TraderCisco

A Fibonacci Retracement on GbpUsd

Here is a great example of how trading fibonacci levels can be a highly profitable way to trade forex. Think about what you are seeing. This is a DAILY CHART and the move was to the exact pip of the 618 fibo level. Be aware though that many times these levels will get “front run” by large investors meaning the turn will take place up to 10 pips prior to the fib level. (Hint: Look left and see if the channel stalls before the fib level as they may use this for their entry.)

Hope this picture gives you a little insight into a set up that I love to trade.

EuoDoo Radio is live!!!

I am really proud to announce that a new page in Euodoo’s history is here.  This project has taken a little longer to get off and running then we expected but it is finally here.

Today starts a new feature for EudooTrading.com and that is the addition of Euodoo Radio and our radio show “Trading Places”.  This week our first interview will be of @FaithMight.  Lydia has been a great source of information on Twitter and through her personal blog and StockTwits, that we could not wait to interview her.  Here is the link to the interview and throughout the coming months you will be returning to hear other interviews that are soon to hit the ‘airwaves’.  Please let us know what you think.  I think you are going to love what you hear as much as I enjoyed doing the interview.

May I just say that I am deeply honored that these individuals would allow me and EuodooTrading to interview them.  Thank you Thank you Thank you.

TraderCisco

Inspiration from John Wooden

Yesterday a very inspirational figure in American Sports History died. He was a champion, winner and an inspiration to many of the students who learned basketball from him. He did much more though then teach them basketball, he taught them how to be true winners in life.

I thought it would be worthwhile to share some of his motivational quotes. We forex traders are a spirited bunch and we are in a profession that takes skill and a strong desire to succeed. This is not a career where we can sit back and skate by, rather it takes discipline and hard work. I hope you enjoy the words of John Wooden.

Do not let what you cannot do interfere with what you can do.

Failure is not fatal, but failure to change might be.

It isn’t what you do, but how you do it.

Consider the rights of others before your own feelings, and the feelings of others before your own rights.

Don’t measure yourself by what you have accomplished, but by what you should have accomplished with your ability.

If you don’t have time to do it right, when will you have time to do it over?

It’s the little details that are vital. Little things make big things happen.

Success comes from knowing that you did your best to become the best that you are capable of becoming.

The worst thing about new books is that they keep us from reading the old ones.

If you’re not making mistakes, then you’re not doing anything. I’m positive that a doer makes mistakes.

Never mistake activity for achievement.

You can’t live a perfect day without doing something for someone who will never be able to repay you.

“Be more concerned with your character than your reputation, because your character is what you really are, while your reputation is merely what others think you are.”

The people who turn out best are those people who make the best out of the way things turn out.

It is amazing how much can be accomplished if no one cares who gets the credit.

Discipline yourself and others won’t need to.

Tell the truth. That way you don’t have to remember a story.

“Remember this your lifetime through:
Tomorrow there will be more to do.
And failure waits for all who stay
With some success made yesterday.
Tomorrow you must try once more,
And even harder than before.”

Talent is God given. Be humble. Fame is man-given. Be grateful. Conceit is self-given. Be careful.

TraderCisco

Meltup the Movie

For you that have not watched this documentary yet this could be very good weekend education.

Many follow @tweetertrades and he has posted the video on his blog.

This video will make you think.

Have a great weekend!

TraderCisco

Non-Farm Payroll will determine Forex risk

Today’s Non-Farm Payroll announcement should be very telling as to the tone of the market for the month. No question that the “NFP” is the most volatile of all announcements in forex.

Let me just say that I will be sitting on the sidelines waiting to see how the numbers reflect on job growth, especially in the private sector, and I will not be alone as it referenced in this Wall Street Journal article.

The private sector numbers are the key to this report, and will determine if the market is going to “risk on” or “risk off”. The last two months the numbers have been decent and have even seen revisions increasing the new jobs returned to the market. However, there are a couple of keys to those numbers that have still put us in a “risk off” position.
1. Many of the jobs gained were temporary as the US government was hiring for census counts etc.
2. Many people had left the job market, giving up for the midterm in looking for a job.

These two events caused the numbers to “look” a bit better than they actually were and the underlying current kept risk to a minimum.

Now we come to the May numbers. What is expected? Many are looking for a job number of 500,000 and yesterday in a memo sent to their clients reportedly Goldman Sachs is calling for 600,000 new jobs. Those numbers sound appealing and they are a step in the right direction but the underlying theme could be very mixed. Two key questions will emerge: Will the actual unemployment number drop or will in continue to climb? Many are expecting a drop of only .1%. The second and maybe the most important question. How many of the new jobs will be in the private sector?

The unemployment rate could have such a small move because many of the people that have been unemployed may actually begin looking for jobs again which would offset the number of new jobs found. Jobs that are created by the US government add to the overall market but they are not created equal to private sector jobs. Jobs created in the private sector reflect better economic growth and stability in the long term rebound from this recession.

So play it safe, don’t try to guess the market move, but prepare yourself for the market as this could set up a move over the next couple of weeks.

TraderCisco