Fabulous 200 day moving average - forex trading robot performance

Fabulous 200 day moving average ~ forex trading robot performance

Hi everyone. I hope you were not very much worried by what you saw happening in the markets in the last few days. You cannot expect not to fall from the branch you are cutting. That’s what world governments have been doing all across the board and now they are scared by seeing what is going on in the financial markets. I do not think you should be scared. At least I am not. This is due to the fact that I am not afraid of the financial collapse that is coming. This is unavoidable for the world and by fearing it you will not change anything. Better find a stable psychological foundation for yourself. I see it in the Bible. Hope you will see it there too.

So, dollar started falling today and I think that is the way should be. You cannot just borrow hard earned money from across the world and expect that everybody would accept the printed debt back. There are fewer fools nowadays as there used to be. Dollar will collapse and so will all European currencies. Hope you will be smart to invest elsewhere. The best strategy is to sell the greenback against commodity currencies. 

I do not have any charts for you today. I hope to give some tomorrow. I came back home from holidays only yesterday and hope to come back to my post writing quite soon. I believe I will give more insights for you this week regarding direction of the financial market trends. Don’t invest too much in shaky markets. Good luck.

See also:

Bollinger bands

Divergence

Disclaimer

Trading financial markets carries a high level of risk, and may not be suitable for all investors. All information on the blog is of educational nature and cannot be considered as advice, recommendation or signals to trade in any financial markets.

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HOW TO TRADE FOREX WITH BEARISH GARTLEY HARMONIC CHART PATTERN - beginners in forex trading

HOW TO TRADE FOREX WITH BEARISH GARTLEY HARMONIC CHART PATTERN ~ beginners in forex trading

Bearish Gartley harminc chart pattern confirms or suggests a short entry upon completion of the pattern. This post is to explain the way to draw a Bearish Gartley harmonic chart pattern, and the way to apply the Bearish Gartley harmonic chart pattern in forex trading. Firstly, lets start to draw a Bearish Gartley harmonic chart pattern.

How to draw a Bearish Gartley harmonic chart pattern?

To draw a Bearish Gartley harmonic chart pattern, firstly, we need to find the X and A points of the pattern. X is found at the top of a strong bearish trend, and A is found at the bottom of a strong bearish trend. In second step we drawn a fibonacci retracement starting from point X to point A to find the retracement at point B. The XA/AB=0.618 confirms the B point of the Bearish Gartley harmonic chart pattern, and it can be found at the 61.8% retracement level of XA. 

In the image below the B point is lower than the 61.8% fibonacci retracement, but if we carefully look at the X candlestick, we can see the price were not stable at the top of the candle, and opening and closing price were almost similar. In such cases, we can consider the stable price little lower than the top of the candle. So point B little lower than the 61.8% fibonacci retracement is okk.

In next step, we are to confirm the point C of the Bearish Gartley harmonic chart pattern. To find the point B lets draw a fibonacci retracement tool from point A to B. AB/BC=0.382 to 0.886 confirms the point C, which is at the 88.6% of AB.

In this step, we are to confirm the point D of the Bearish Gartley harmonic chart pattern, which confirms the completion of the pattern. We have drawn a fibonacci retracement tool from B to C. CD/DC= 1.13 to 1.618 confirms the point D of the pattern. We can see in the image blow that the point D is between the 1.13 to 1.618 range. To find the point D exactly we will reconfirm it in the next step.

To reconfirm the point D, we will draw a fibonacci retracement tool from point X to A. XA/AD= 0.786 confirms the point D, clearing the confusion arisen in the followed step. Have a look at the image below.

In final steps, we will just draw the XA, XB, AB, BC, BD straight lines to find the Bearish Gartley harmonic chart pattern.

How to trade the Bearish Gartley harmonic chart pattern in forex ?

Trading the Bearish Gartley harmonic chart pattern is simple. General rule is to place a short order when the point D is confirmed. The profit target for the order placed at point D should be at the 50%, 61.8%, or 88.6% retracement level of CD, or at the AC trend line. Stop loss for the order at point D can be placed at point X price level.

Smart traders also take the advantages at other points. If you have adequate knowledge of using other technical tools, fundamental analysis and sentiment analysis, you will surely be able to place orders at other points. In our later posts, we will try to explain the way of trading every points in harmonic chart patterns. 

Dear Traders, hope this post will enrich your trading knowledge. If you want to join the discussion with other traders, you can drop a comment below. You can also subscribe yourFXguide with you email address to receive the updates.

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eur aud analysis - forex trading tops and bottoms

eur aud analysis ~ forex trading tops and bottoms

Happy New Year everybody! Today I want to give you my short term analysis for eur/aud currency pair. From now on, occasionally, I want to take separate Forex pairs and do forecasts and analysis on them. Some of them might be long term, some short term trades, some maybe covering only a few days’ period and predictions for a day or maximum a week. If you have been reading my blog regularly you must have found that I like crosses and eur/aud, as well as gbp/aud have been covered in my posts (with lots of examples) quite a few times. Last year was very good for these pairs as they have been in very big swings (both up and down) that lasted for 2-4 months. It was pretty easy to trade the pairs for swingand trend traders and the securities simply change trend at the peak or bottom and trended in the other direction with minor retracements.  How about this year? Let us think together!

Euro was very much pressured by these huge debts from mostly South European countries and a lot of economists, finance analysts, investors, speculators and average traders doubted whether the European Union will survive. So, we saw sharp moves in Euro crosses. However, as in the end of July the head of ECB announced that the Central Bank was planning to do anything it takes to save the Euro zone Euro bounced off significantly and strengthened against most currencies. The move continued till the end of the year and some believe it is going to continue this year too (at least against Japanese Yen and US dollar). This might be true. However, I do not think Euro will be that strong against commoditycurrencies. Why?

If you look at daily charts of various Euro pairs (and possibly Pound) you will see that at the end of the year Euro and Pound managed to make new highs against US dollar and Japanese Yen. However, it failed to do this with Australian dollar. Look at eur/aud and especially gbp/aud to see for yourself. 

Hi guys. It is the third day I am sitting with an old pc of mine, which does not work very properly, therefore I can simply remind you a few things till my computer will be fixed. Today I wanted to stress the importance of looking at the big picture. How can we do it? By looking at long term charts. That’s how you should start your market trend analysis. 

You should always remind yourself whether the market you are studying is in a big move, range or is going sideways. Daily charts, with the help of 4 hour charts can help you to do it. When you see that you are in a move, wait for counter trend moves and when they are over jump back to continue going in the direction of a trend.

If the market is ranging, wait for it to reach important resistance or support levels and reverse there (after forming a reversal pattern). And if the market is going sideways, I would simply stay out of it and wait for better opportunities. 

Hope that helped. See you tomorrow.

Disclaimer

Trading financial markets carries a high level of risk, and may not be suitable for all investors. All information on the blog is of educational nature and cannot be considered as advice, recommendation or signals to trade in any financial markets.

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