EUR/USD Analysis

[Traders-Live]

EUR/USD
Weekly Trend direction: Bullish
Weekly trend reversal level: 1.2860
Key G7 support levels: 1.3380/3400, 1.3450
Counter-trend opportunities:
Strategy: Whilst below the weekly trend reversal level sell rallies to resistance levels after an entry signal.
Today's trade suggestion:
After a massive whipsaw week (largest for several years), the euro is now technically in bullish mode after a marginal “outside week” last week (lower low and higher high) However, as the high and low were only marginally outside the previous week, and we didn’t get a close beyond either side, this week’s direction is still in the balance, and open to a further whipsaw. This may sound all very confusing, but the bottom line is that we could trade in either direction this week
(whilst inside last week’s range) and that we have to be very aware of possible dramatic reversals in either direction. All that having been said, I’ll be pencilling in support and resistance levels in both directions and looking for potential G7 setups to buy or sell. The hourly chart below shows some of the levels of interest, which I’ll be watching closely as the week
unfolds. Note also the potential hourly “head and shoulders” pattern, which is a potentially bearish sign to start the week off.
Summary:
See above. Be prepared to trade in either direction, being very careful about large whipsaw moves.

GBP/USD
Weekly Trend direction: Bullish
Weekly trend reversal level: 1.5475
Key G7 support levels: 1.5760/80, 1.5700, 1.5640, 1.5580, 1.5500,
Counter-trend opportunities:
Strategy: Whilst above the weekly trend reversal level buy dips to support levels after an entry signal
Today's trade suggestion:
Clearly bullish last week, with a big rally creating a higher high and low. We have been stuck in a tight range at the top of the rally since Thursday, and little has changed. We’ll be waiting for the pound to dip down to the support levels pencilled in on the hourly chart, followed by a G7 trigger to put us into the market. Sterling is a far less complicated picture than the
Euro and the strategy remains simple. Supports are now at 1.5760/80, 1.5700, 1.5640, 1.5580 and 1.5500 with 1.5762 being a potential strong confluence of supports if and when we get there. One word of caution before we become rampaging bulls: The weekly chart shows a potential “head and shoulders” patter, with the resistance line between 1.5800 and 1.6000.
This could put a spanner in the works for greedy buyers! (see weekly chart)
Summary:
Buy dips to support levels after a clear G7 entry signal.

[Traders-Live]

The 3 C’s of life: choices, chances and changes.

You must make a choice to take a chance or your life will never change.

Face 2011 with this attitude and you will be fine.

Also remember this…

“If you do what you always done you will get what you always got”

I have taken a hard look at what I have done in the past versus what I plan to do this year and I am really excited for what lays ahead.

I believe that you need to do the same, especially if you have struggled with results of late. You can’t expect to get different results if you keep doing the same thing.

So what choices do you need to make right now?

Here are a few suggestions from my side…

Trade with discipline or don’t bother to trade at all, and leave the emotions at home

The fact is, the unsuccessful trader is most likely using the same indicators and techniques that the successful trader is using. Yet only one of them gets consistent results. So why is this then? The unsuccessful trader, not realising it at the time, is trading those same indicators emotionally and fearfully.

That’s really all there is to it!

The unsuccessful trader doesn’t realise this though, because they are looking in all the wrong places. After all, if they acknowledge this simple reality, then it means that they need ‘fixing’; and it’s a lot easier to fix a combination of indicators on a chart, then to take a hard honest look at themself.

So begin the year by taking a good hard honest look at yourself and your recent trading results.

If you want to achieve different results, then you need to do something differently this year.

Did I mention not to get emotional?

It’s not about YOU. It’s about price movement. Something that you have absolutely no influence or control over, so stop getting all emotional each time you trade. Your only job is to analyse the ‘probability’ then apply a ‘trading strategy’, consistently and with discipline.

Do the job right and you will make money – it really is as simple as that. Do it wrong though – bring your emotions and ego to the party – and you simply have no chance at all.

Trading is a simple numbers game. When you mess with the odds though and don’t let the dice roll out each play, then you simply have no chance of letting the numbers work their magic.

Although most traders will admit that The Traders Mindset is key to winning in the long-term, most believe they can simply ‘handle it’ when things go wrong.

Too late!

The truth is that once emotional, you become irrational, and simply will not make rational decisions – so forget it – prepare properly so you know what to do when required and you do so unemotionally – or be prepared for large losses.

Speaking of losses then…

Take your losses like a ‘man’

Or a wo(man). Seriously though, we need to man up and accept that losses are simply part of the deal – I mean really accept this.

Be warned now. More traders fail from their inability to accept losses then any other single factor. We have to leave our egos behind when trading. It really cannot be about us if we are to have any chance of success.

Remember.

To win the War you need not win every battle!

I know that you all recognize this reality. But I also know that most of you still struggle with it.

Work on your approach – Your mindset. Prove to yourself that this is in actual fact the case.

So how do you do this in 2011?

Well you need to take a 2-3 week period and be totally committed, not to the overall trading results in the context of pips gained or lost, but rather to the process itself, of staying committed to the trade parameters, and to letting those loses simply happen without any attempt to prevent them from occurring at the time.

Look long term – forget short term.

The focus must be on ‘testing’ the theory more then testing the outcome. By committing to this strategy – your focus now becomes less results orientated and because of that, the process is less emotional. Now your sense of failure will no longer be measured in terms of pips earned or lost – but rather in how well you managed to stay the course and leave those trades alone, in attempting to prove or disprove this theory.

Now your ego is not fighting you on each and every individual loss.

Turn your knowledge into experience this year.

Make a choice to make a change.

All the best,

Chris.

[kochtgr]

I think the Euro will continue being bullish for the next 2-3 weeks and then collapse until the end of 2011

[Traders-Live]

Sorry Guys been travelling so much lately. Here is a brief heads up of the longer term picture...

[ame="http://www.youtube.com/watch?v=k1ZUaQlKNNQ"]Forex_Science_Daily_Trading_Report_22feb.mp4 - YouTube[/ame]

[Traders-Live]

Currency report - great set ups for today 2nd March...

[ame="http://www.youtube.com/watch?v=3KNndn9zT74"]Forex_Science_Daily_Trading_Report_2march.mp4 - YouTube[/ame]

[Gary]

Hi,I am just new and getting through the information to learn and implement point of thinking.The video attached here is just amazing to know about the Forex analysis.Good work and guideline.Thanks.