It's arguable if this is a trendline break because the USD is still bouncing off the 50 day EMA which is slightly below a perfect trendline, but close enough to make one question if that trendline is indeed broken or not. If the 50 day EMA fails as support and subsequently acts as near-term resistance, then I will be convinced the uptrend is at a pause.
But there have been rumors that Bernanke would discuss the possibilty of removing the "extended period" language. These of course are unsubstantiated rumors but today is a huge day in terms of CPI and Bernanke speak. I am hyped!
Just to contribute, here are the critical rules I have in place:
1) Take your profits. Take them, do not lose them. Take them. Set a target and if it gets hit, take your profits.
2) Set a clear defined trade objective. Clearly identify what bet it is you are making, and if it succeeds, take profits. If the bet is not developing in the manner you envisioned, close out that position as soon as possible. This also encourages that one specify their entry and exit more precisely than otherwise would be done. I've found that when one is willing to say that they are ready to take a 150 pip move against them, that they have failed to set a stop loss 100 - 120 pips earlier and that this wide stop is the result of failure to plan accordingly Why would anyone need to set a stop as wide as 100 - 150 pips? Because of poor entry and planning.
In that area, yes. I don't want to overstay my welcome as we're also sitting on what should be fairly good support in prior highs (in the downtrend). This could also be a two-day symmetrical triangle with a breakout possibly above into R2, where many stops and short covering may be triggered, though it could also break downwards to my target area.
Going short at 1.3590 with a reasonably tight stop slightly above 1.3600, making the beat that R1 holds as it has been all of today (pop 150 pip gap from yesterday, that is). Also doing this considering that once EUR/USD could only briefly stay under its 50day EMA yesterday and that once it retested it, it failed substantially. Coupled with this the US Dollar maintaining its uptrendline from November 2009 in addition to trading above its 50day EMA all day today (like EUR/USD, briefly failed this level due to yesterday's squeeze).
Tight stop, very specific play in mind, looking for 1.3500 and below if this holds. If not, I'm out less than 30 pips.
Try publishing this in the UK weekend papers: Traders bet BankofEngland will raise rates to 6.25% --highest since 1… https://t.co/GWXrTEAk4R(1 year ago)
Poor start to a slow market day as Ezone PMIs disappoint. Im still keeping an eye on the rare (-2%) USD-GOLD combo,… https://t.co/UyRzWsRbs7(1 year ago)
-5% YTD is not good, while -7% from the year highs can be tough. Gold traders have their eyes fixated on this for n… https://t.co/NV5UMKsfNo(1 year ago)
ما وراء هبوط الدولار مع الذهب و من منهما يتمكن الارتداد؟
موعدنا الآن في غرفة شركة إكس أم لجلسة الأسواق
https://t.co/Y7tD0RxCS2
@XM_COM (1 year ago)
Jobless claims > 300k before next FOMC meeting would be ideal for Fed to make up for any CPI upside surprise (1 year ago)
"Cook & Eat at Home" scheme may come next to defeat UK inflation... (1 year ago)
Earlier in the week gold selloff was attributed to smaller than exp China EASING. Metal is now holding v well despi… https://t.co/ZW9cmXTPWW(1 year ago)
But there have been rumors that Bernanke would discuss the possibilty of removing the "extended period" language. These of course are unsubstantiated rumors but today is a huge day in terms of CPI and Bernanke speak. I am hyped!
1) Take your profits. Take them, do not lose them. Take them. Set a target and if it gets hit, take your profits.
2) Set a clear defined trade objective. Clearly identify what bet it is you are making, and if it succeeds, take profits. If the bet is not developing in the manner you envisioned, close out that position as soon as possible. This also encourages that one specify their entry and exit more precisely than otherwise would be done. I've found that when one is willing to say that they are ready to take a 150 pip move against them, that they have failed to set a stop loss 100 - 120 pips earlier and that this wide stop is the result of failure to plan accordingly Why would anyone need to set a stop as wide as 100 - 150 pips? Because of poor entry and planning.
Tight stop, very specific play in mind, looking for 1.3500 and below if this holds. If not, I'm out less than 30 pips.