Brend's trading ideas

[BREND]

With UK property price falling I believe UK economy will face similar problem to US, so to short GBP is a good strategy in my view.

I do not like to short GBP/USD because both UK and US economy are both problematic, I prefer to long EUR/GBP as Europe is in a better shape than its peers in the western world.

Bought EUR/GBP at 0.7949
Stop level at 0.7900
Target level at 0.7990

 

[BREND]

High yield currencies are back in favour. AUD/USD and NZD/USD have rebounded since yesterday night.

This morning correction for NZD/USD is an opportunity to buy in my view.

Bought 50,000 NZD/USD at 0.7578
Stop level at 0.7535
Target level at 0.7610

 

[BREND]

USDJPY advanced before Federal Reserve Chairman and Treasury Secretary testify before the congress on regulation of markets.

USDJPY is still trading in an uptrend.

Bought USDJPY at 107.24
Stop level at 106.60
Target level at 107.66

USDJPY chart: Forex and Binary Trading: USDJPY uptrend maintains

 

[BREND]

High yield currencies are back in favour. AUD/USD and NZD/USD have rebounded since yesterday night.

This morning correction for NZD/USD is an opportunity to buy in my view.

Bought 50,000 NZD/USD at 0.7578
Stop level at 0.7535
Target level at 0.7610

NZDUSD goes above 0.7610, so my position is closed. Profit is US$161.50.

 

[BREND]

Often at the start of a new week, I will analyse what is the direction of USD and stock market. This is because this will affect all the major currencies and JPY currency pairs.

My view for this week is that USD will continue to weaken due to more fear in the US financial sector and stock market should remain week as there is no catalyst for it to rebound.

To tap on USD weakness, I had bought AUD/USD. In my view, AUD continues to remain the high yield currency with the strongest fundamental.

Bought 100,000 AUD/USD at 0.9686
Stop level at 0.9590
Target level at 0.9782

 

[BREND]

How do I make money in this kind of market?

In this equities down market, there are many experts and analysts calling for buy on the equities claiming that valuation is cheap. But if you had followed their buy recommendations, you will be catching a falling knife.

One way of determine valuation is Price Earning Ratio, which is Share price (P) / Earning per share (E). Share price is down drastically, so this ratio looks cheap. But question is does E falls as well. If P is down and E is also down, then forward Price earning ratio may not look as cheap as people think.

I do not know the whole picture of the subprime issue and I do not know how great the damage it will cause to the worldwide economy. During this period of time I just concentrate on my currencies and commodites trading. The most important fact is that I am making some money.

In the early part of 2008, I had opened account at ForexYard platform to trade currencies, oil, gold and silver. I had deposited US$5,000 and today my account is worth US$10,843.30. So my profit is up 116%.

This platform does not charge commission on its products, it makes money from the spreads. Other than gold, the spreads of other products are very reasonable.

I am not a greedy person, as long as my profit for this week is more than my profit for last week I will be happy.

Last week my account as at 5th July was worth US$10,076.72 (see here), this week my account as at 12th July was worth US$10,843.30, so there is some improvement.

See here for my account balance: Forex and Binary Trading: How do I make money in this kind of market?

 

[BREND]

Tomorrow there are some data announcements, namely:

Producer Price Index
Advance Retail Sales
Empire Manufacturing
Economic Optimism
Bernake Report on Economy and Fed Policy
Business Inventories

So we expect great volatility in the foreign exchange market. Hence it will be a good opportunity to buy OUT to tap on this volatility. :clap:

Usually I like to buy OUT for USD/CHF or USD/CAD because volatility of those currency pairs are pretty small, so cost of options will be cheaper to buy.

Trading platform: MANSION118

Platform image: Forex and Binary Trading: Tomorrow is a good day to trade volatility

 

[BREND]

Often at the start of a new week, I will analyse what is the direction of USD and stock market. This is because this will affect all the major currencies and JPY currency pairs.

My view for this week is that USD will continue to weaken due to more fear in the US financial sector and stock market should remain week as there is no catalyst for it to rebound.

To tap on USD weakness, I had bought AUD/USD. In my view, AUD continues to remain the high yield currency with the strongest fundamental.

Bought 100,000 AUD/USD at 0.9686
Stop level at 0.9590
Target level at 0.9782

Strong resistance at 0.9742, so I decide to take profit first. Sold at 0.9706, profit is US$200.

 

[BREND]

US Treasury Henry Paulson said US government agencies will provide liquidity and capital support to Freddie Mac and Fannie Mae. This signals to me that they will need to print more money. Hence USD will continue to go weaker and precious metals will rise.

Bought 1 lot of silver at 19.14
Stop level at 18.60
Target level at 20.00
Value of 1 point is US$1000

Chart: Metal and Stock Indicies Trading: Good time to buy precious metals

 

[BREND]

Oil prices tumbled Tuesday as U.S. stocks sold off amid worries about the nation's economic health. Prices dropped more than $10 a barrel from their highest point of the day. At midday, light, sweet crude fell $6.27 to $138.91 in an extremely volatile session.

I think this is a good opportunity to buy oil after the huge drop within a very short period of time. In my view the drop is not due to fundamental, it is market overreacting to Ben Bernanke's speech.

Bought 1 lot of supermini oil at 138.56
Stop level at 134.50
Target level at 144.10
Value of 1 point is US$100

Chart: Oil Trading: Oil prices plunge more than $10 a barrel

 

[BREND]

US Treasury Henry Paulson said US government agencies will provide liquidity and capital support to Freddie Mac and Fannie Mae. This signals to me that they will need to print more money. Hence USD will continue to go weaker and precious metals will rise.

Bought 1 lot of silver at 19.14
Stop level at 18.60
Target level at 20.00
Value of 1 point is US$1000

Chart: Metal and Stock Indicies Trading: Good time to buy precious metals

Oil price had plunged $10 pulling down precious metals as well.
Silver went below 18.60, so my stop was triggered. Loss is US$540.

 

[BREND]

My indicator has shown buy signal for oil.
On the chart, oil is trading in a range of $132 - $146.
Currently oil price is trading at $134.29, so it is near to the bottom of the range.

Any geopolitical events or supply disruption can easily spike oil price up towards $140 again.

Bought 1 lot of supermini oil at 134.29
Stop level at 129.29
Target level at 142.50
Value of $1 is US$100

Chart: Oil Trading: Time to buy supermini oil

 

[BREND]

Today is a day of US dollar strength.

USDCAD looks oversold on the daily chart.
On the 10 min chart, USDCAD is trading sideways, which to me means USD has not run up yet against CAD.

Bought 50,000 USDCAD at 1.0025
Stop level at 0.9980
Target level at 1.0060

Chart: Forex and Binary Trading: USDCAD is oversold

 

[HoodTrader]

Oil has broken a serious level on teh downside and most analysts recommendations for the EURUSD is to fall to below 1.50 by the end of the European summer , do you still think its a buy?

 

[BREND]

Oil has broken a serious level on teh downside and most analysts recommendations for the EURUSD is to fall to below 1.50 by the end of the European summer , do you still think its a buy?

Risky to buy.

 

[Gumping]

Have you made Ali any money yet?

 

[BREND]

Have you made Ali any money yet?

What talk you?

 

[Gumping]

What talk you?

http://www.trade2win.com/boards/448358-post132.html

 

[BREND]

http://www.trade2win.com/boards/448358-post132.html

I had emailed him my proposal, he said he will review, but he didnt come back to me.

 

[BREND]

AUDUSD rebounds from middle band of bolinger.

Bought 100,000 AUDUSD at 0.9629
Stop level at 0.9564
Target level at 0.9677