Best Thread Potential setups

[glyder]

Long Term position on GBP/JPY is interesting.
its sitting on a S/R line that has been in play since 1993.
Its currently at resistance, but last week formed a bullish outside bar.
A breakout upwards, if it happens, could have significant way to go.

 

[montmorencyt2w]

To my untutored eye, the last time it was around that resistance (if I am reading you right), it wasn't trying too hard to break through. Now it seems to have a lot more energy; in fact it seems to suggest a lot of pent-up energy trying to get out and move the price up. I guess this is JPY weakness, rather than GPB strength. So, a move to around 16000 initially, are you thinking?

 

[glyder]

To my untutored eye, the last time it was around that resistance (if I am reading you right), it wasn't trying too hard to break through. Now it seems to have a lot more energy; in fact it seems to suggest a lot of pent-up energy trying to get out and move the price up. I guess this is JPY weakness, rather than GPB strength. So, a move to around 16000 initially, are you thinking?

Hi Montmorency, I think the 16/17000 area could be a first target, but its really a wait & see thing for the moment....... the BUOB may have a significant way to retrace, or resistance may win out.
Somehow though I think the ££ may be looking at a bit of a comeback in the mid term (no idea why on fundamentals but some charts, eg GU seem to show it seems out of whack and might be due a retrace)

Note: I'm on demo at the moment (for the first time ever!) i'm interested in how this will affect my trading/analysis. ....I never thought demo had any real purpose previously, (you know all that '''it all changes with real money on the table''' stuff & that is certainly true) but I've had real money on the table for a long time now, & it feels right to give demo a go now, so I can be free to let some situations develop while i'm relaxed and get accustomed to the way they work out. I might learn more about patience and discipline.for free.

 

[ilplusq]

I am new to trading and, as trader_dante repeated enough times, it is very easy to get sucked into searching for pinbars and inside bars and then fit the levels to them. I found a great solution for this problem. Draw your levels (I use MT4) and then zoom out so that you can only see candle highs and lows but not the bodies of the candles. This way you see where the price is but you are not distracted by the pinbars and other patterns which are meaningless without SR levels. When you see the price approach a significant level, evaluate other factors, i.e. higher timeframes, fibs, EMA's and whetever else you are using, and, DEAD LAST, zoom in and look for an entry.

 

[Joey25]

USDJPY setup

The yellow lines mark a "neutral" zone.

Looks like a low risk opportunity (33 pips incl. spd) to trade yen weakness.

The H4 inside bar is the entry.

 

[supremegizmo]

gbp/usd update ..

market rumour of option related selling at 1.50 for gbp/usd ... be cautious at that level if suspicious selling noted.. althou my good friend dante is acting like a option bust trader and trying to buy a break of 1.4954
lol dante best of luck i think it gonna revert back from 1.4985 ish

 

[Yuppie]

supremegizmo

gbp/usd update ..

market rumour of option related selling at 1.50 for gbp/usd ... be cautious at that level if suspicious selling noted.. althou my good friend dante is acting like a option bust trader and trying to buy a break of 1.4954
lol dante best of luck i think it gonna revert back from 1.4985 ish

What does one look out for to identify "suspicious selling"?


Magnus

 

[trader_dante]

gbp/usd update ..

market rumour of option related selling at 1.50 for gbp/usd ... be cautious at that level if suspicious selling noted.. althou my good friend dante is acting like a option bust trader and trying to buy a break of 1.4954
lol dante best of luck i think it gonna revert back from 1.4985 ish

fking options

 

[Calinor]

Like Yuppie I'm a bit confused about what your post means supremegizmo. How is this knowledge useful in practice?

 

[supremegizmo]

sellin

What does one look out for to identify "suspicious selling"?


Magnus

price action reverting back from certain level .. then buyers trying to push which again meets stiff resistance ...in short buyers push price up slowly but seller form a big candle .. its difficult to explain but such kinda feeling comes with time and experience .. as of now
do you smell something fishy in the range of 1.49 and 1.4950 for pound

 

[supremegizmo]

option

Like Yuppie I'm a bit confused about what your post means supremegizmo. How is this knowledge useful in practice?

i just postthis for traders who are aware how options can affect .. pls dont get tensed about that ..

however if a bank has to payout a big sum if gbp/usd hits 1.50 then it will try to defend that level by selling 20-30 ticks below it .. this is called frontrunning the option .. this depends on how big the option is .. Yen traders could possibly recall the 300 pip drop in yen when an institution was trying to protect a no touch option at NY cut 21st jan..

so whoever understood the meaning of my post just beware and those who didnt dont worry just follow the price actions and normal setups ( please note traders never follow recommendation from others i only post my views to make you aware of situation so you should gather all data and plan your own trades and do what you think is right)

 

[trader_dante]

the options traders are going to do their a*ses if the price goes about 1.50 so they might try to defend their position by selling in the cash market to drive the price down...you will have front running on this too...obviously when they all f*ck off it's got a good chance of running hard. i'm going to keep trying to get in ahead of it in this range and then hit the offers at 1.4550...gotta do your bit to help the bulls out here... on the plus side giz, i saw they didn't manage to hit the stops under 1.4885...yet

 

[trader_dante]

on the plus side giz, i saw they didn't manage to hit the stops under 1.4885...yet

oh they're going to try for them now though!

 

[metals_trader]

the options traders are going to do their a*ses if the price goes about 1.50 so they might try to defend their position by selling in the cash market to drive the price down

Or they could just simply be delta hedging the position therefore chance of doing there asses is low, also in that case they wouldnt be thinking of the position as trying to push the cash markets down

 

[superspurs]

if euro can break 1.35,it could possibly run

 

[Technically Fundamental]

Possibe retracement entry for quick short into eur/usd. Looking v bearish all morning and 135 has been broken.

 

[trader_dante]

Time to sell EUR/GBP

 

[trader_dante]

Possibe retracement entry for quick short into eur/usd. Looking v bearish all morning and 135 has been broken.

Short EUR/GBP is a better trade than short EUR/USD imo.

 

[Technically Fundamental]

triangulation... thanks

 

[Yuppie]

price action reverting back from certain level .. then buyers trying to push which again meets stiff resistance ...in short buyers push price up slowly but seller form a big candle .. its difficult to explain but such kinda feeling comes with time and experience .. as of now
do you smell something fishy in the range of 1.49 and 1.4950 for pound

Attached 5-min chart of cable.

I'm thinking that the eratic-looking action in the highlighted area is the defending?


Magnus