Sunday, May 3, 2015

CCY Corner: EURGBP Cross Rate Correlation with CABLE & DXY

The importance of following a sequence of trade analysis even after a trade settlement does not stop as we have always emphasized, The series of mix reports resulting to price swings in both directions for the US Dollar, CABLE and the EURO have been anticipated.

 For several reasons other than the US GDP & FOMC minutes,  UK GDP, ISM figures that led to a relief recovery for the US Dollar at the closing week of May 1: which happens to be also the first trading day of the new month. An over-lapping trading case scenario more often neglected and disregarded for its value & significant importance by some analysts, traders and investors for that matter.

This is were real traders and market strategist differ while uniquely separated from one another. The likes of protecting the gains made from the European majors against any adverse price swings well ahead of the market. More to follow this week as we would be watching the movements of the correlated pairs with their corresponding cross rates specially the EURGBP, EURO, &  USD

"Sequence of trades & analysis do follow and does not stop after trade set-up
 nor when a settlement has been made." 
Being ahead simply means you'd be out of the market, while others are just getting in. 
A Cipher3 Applied Analysis & a Combination of a Counter-trade Strategy 
By: Alexander @MegaTrade101

Friday, May 1, 2015

Trading A Medium For Investing

Is Trading a Medium for Investing in Today’s Market Conditions?
Most market articles are based and presented in their simplest form that are often used for discussions during every presentation, training seminar and workshop as relevant strategies that can be applied during actual and post trading activities. This helps traders and investors to develop a correct mindset by properly using appropriate trading techniques openly discussed in every possible market condition. 

         Trading A Medium For Investing

Thursday, April 30, 2015

USD Weakness Validated & Confirmed

The USD session price recovery back @95.10 basis point have been the result of the lowest Jobless claims #'s after registering a low @94.39 which is now considered to be the low for the closing month of April. A corrective move for the USD which is  in line with our market overall outlook. The ISM figures for Friday's closing would be carried over towards the month of May's trading activity.Furthermore, provided some relief across the board for the rest of the currency pairs which also have pared the price difference from yesterday's move. This should now validate & confirm the technical "Dark Cloud" formation and uncertainty which we have previously mentioned from the end of the 1st quarter review. Link: Recall: End of 1st Quarter Review 

The technical's emphasized not merely an engulfing bar for the USD  Index but more of a "Piercing Line" which composes the past three week's of April's trading activity. The limited upswing with the USD would be short-lived on a daily basis as the direction of the price swings would still be on both directions due to the volatility and the Tug of War between major players in the market.

Monday, April 27, 2015

Reaping the Rewards on CABLE!

Congratulations! Again, now that your're ahead stay ahead and you are more than welcome! Timing ahead of the move is equally important for either an entry or an exit. Watch CABLE real well. Especially for those of you who has been keeping your  long positions with us on the 1.4789 and 1.4885 levels. Cheers to all and don;t break the champagne bottle yet :)

It is indeed an honor to be trading with you all!
Sir Alexander 

CCY Corner: #GBPUSD Divergence, Sentiments & Momentum

The near term weakness in the USD after softening reports on the US economy have finally given long remaining short-sellers on the Pound to cover positions. As Cable prices have started to recover from its lower levels, speculative sentiments contrary to price and volume have lagged behind when last week's volume slightly measured above its moving average volumes of transaction.

Speculative sentiments have fallen to negative territory while prices have recovered simply based from the Hawkish BoE minutes directing a favorable reaction for Cable prices to move to its current levels @1.5180 which also serves as the initial point of daily price resistance on the Asian session before another push higher can take place.

Meanwhile, a visible divergence have occurred when prices reached its lowest level @1.4565. Momentum and volumes relatively were lower and an unconvincing gradual buildup of prices from short-covering have supported the recent move on the Pound. Asian trading opening were mildly soft across the board and have remained within the day's range. However, a further increase in market would continue to prevail for Cable, as prices would still swing higher with some session pullbacks to come with it. For as long as the US Dollar would continue it's corrective move; the tech perspective on GBPUSD would be a continued V formation that would signify a positive tone moving forward, especially if no considerable change in direction with its corresponding EURGBP Cross rate would be made. This divergence would affect the EURUSD and the AUDUSD more effectedly as the US Dollar declines. 

Reference Trade in Effect: GBPUSD as of April 15, 2015 

Friday, April 24, 2015


Not the Currency of Last Resort as it used to be! (until when?)

The precious metal is indeed losing its luster with current prices @1175.46. A re-test of the low @1130.10 is underway with no sign of fresh buyers at this levels.

During earlier times, when we hear Russia is in the market buying gold, a bunch of chaos and a buying frenzy can be seen among traders. Apparently, those days are likewise gone. Even if news of Russia piling up gold reserves including other central banks would encourage some market activity to push prices higher. For now, we can safely say that stocks weighs heavier in value, especially when positive earnings are still coming out from market reports. Foreign currency value on gold are depressed with the effects of a stronger US Dollar. As long as the USD corrective move would not go below its more important benchmark for the 2nd quarter; this maybe too early to make a price negative effects on gold would weigh bearish until a solid consolidation can be made at a reasonable base price