AUDJPY Clarifies the Hint

Thanks Gunjack,

I only trade breakouts. AUDUSD looks like going higher and higher. I am useless at predicting whether one should jump now onto the trend or plan for a pullback. If I had to trade this pair only - then I would bet on going long on a minor pullback, trying to short this is far too risky based on the trend of 6 months.

The pair presented two very clear breakout opportunities on 4th Sept and 6th Oct - I missed both.
Currently I am long CHFJPY from 89.80. If it clears 90.65 and then 91.50 - then I am looking to take profits at 93.
However, Ashraf keeps warning of Swiss intervention on thursdays - lets see if I survive tomorrow or get stopped out.


Vik

Mr......what 's a time chart are u short or long,5minute ,1day 30 minute, 1week and 1 month?

AUDJPY heading to T2 83.50.

Rajesh

False break outs are part of the game - I look at daily charts - and enter the minute a new 55 day high is broken i.e. I do not wait for a close all the time.
Stops are pretty tight as breakouts can be caused by noisy spikes which have no meaning in the overall direction of the market. sometimes i will enter on a 20 of 30 day new high - it depends how strongly range bound the instrument has been in the last 20 - 30 days - if for e.g. a resistance or support has been hit few times and held - then its break is normally quite powerful. However if you have have a 20 / 30 day resistance which has been hit only once - then once its broken - the support it offers is also weak - higher potential for a false breakout.

You have to practice this quite a lot before u can perfect your way of doing it. I am still learning how to optimise this

Again, in many cases, once making new top or bottom, the prices tend to move back. We have seen that in GBPUSD, EURUSD. How to guard against this. Is this on daily timeframe or weekly timeframe??