- The Business of Making the Right Trading Decisions Beyond Charting & Price Action Analysis

Thursday, February 11, 2016

Global Stocks Tsunami - Asian Trading Session as of 02.12.16

JPN225 Asian Trading Session
as of 02.12.16
@megatrade101- PRICE ALERT: watch & learn - Global Stocks Tsunami Brings Yen Repatriation Back as JPN225 trade Update: @14770 low in Asian session

Take away:
In addition Japan Finance Minister Taro Aso watching Yen's rapid appreciation that hinders BOJ monetary policy. Cautiously watch as we all have learned from previous experience that BOJ manages to pull some stops when it is most unexpected by the market.  And this is due to the fact that verbal intervention may have proven to be soft after coming from a holiday schedule.

Alternative CCY Hedge Strategy ETFs

ETFs v. USD weakness v. JPY strength are the right combination for this bear market, with the expected follow-through. The Effective Price Action Analysis & Market behavior are still in place as hysteria is boiling across the major global markets.

Making the right choices of instruments which are correlated that provides wealth preservation while building additional equity and staying liquid with assets well protected by an excellent strategy that serves as a layer of cushion in exceptional trading times.

A CIPHER3 Method Applied


Wednesday, February 10, 2016

INSIGHT: FX & Stock Indices Price Action

Marked Highs & Lows: The market's ability to set newer highs and lows is widely credited to the momentum and volatility of price action from a broad base combination of the US Dollar, the DOW JONES, SP500 & the JP NIKKEI 225 index and their respective correlated markets with OIL

The sequence of price movements on the USD; as defined with its trade weighted average DXY, which marked a new low @95.65 setting the market pace for the currency market to do the same. This already stated with the new low on the USDJPY @114.20. These initial moves were the first signal that a new cycle of alternating moves were in the making which we have anticipated in our most recent report. Let us define the series of price movement in their order and price sequence reaction.

INSIGHT: FX & Stock Indices Price Action

Monday, February 8, 2016

New Price Cycle Starts on CCY & STOCKS


  • USDJPY @110.95 - 2nd NEW LOW European Trading Session Update as of Feb 11, 2016
  • USDJPY @114.44 - 1st NEW LOW Asian Trading Session Update as of Feb 09, 2016

Based on our most recent expectation the market is geared in setting-up "New Highs & Lows" which have started as early as today trading in the US trading session. Admittedly, the market has gotten ahead as of today's price action highs & Lows. How short-lived a price recovery was that! 

Nevertheless, after the DXY @96.25 low; an initial contrary price move by the USDJPY that marked a new price low @115.17 - extension - (Higher Value) as of writing. This also reflected the flow of sentiments where a spill-over from the stock market's decline have also shown investors flight to safe-haven currency pairs.

With similar bets shifting towards the precious metals on GOLD near @1200.00 New High Levels away from a renewed price decline on Oil. And other sectors from Technology, Financials other than Energy have been the main drivers of the decline: while the market awaits FED chair Janet Yellen's testimony for the week.

Its been quite a busy session again from the closing of the European session, as price action on the EURGBP cross has set its 2nd New High @0.7760 which may find some minor resistance while CABLE gathers momentum for the next leg lower as we have anticipated. However, these three currency pairs have also been the main focus as the market have been active since the opening bell. For now this is what we meant as the market has gotten ahead this time around.

Saturday, February 6, 2016

Opening Price Gap


The week long Lunar holiday will provide some breathing room for some investors for the stock market.  The week's mild US reports within a thinly traded market will be an opportune time for the USD price recovery along with its counterparts which already opened with a gap from their closing prices.  

The probability of returning market volatility after the China market holiday will be in focus as a similar trading scenario could occur upon opening of trading. A mirror image of  new price cycle of new highs / lows & trend direction is anticipated  to set the pace after the USD Index (DXY) marked a new low @96.25. basis point. Alternating currency moves after this week's US  data will clear uncertainty. New trade-set-ups would provide a better glimpse of the majors as it resumes normality in trading activity. 

Opening Price GAP