Wednesday, September 25, 2013

Market Insight: Majors & Crosses 3


USD AUD GBPJPY EURGBP
With the economic c0nsumer confidence figures at its lowest will continue to dampen market sentiments for a USD recovery. However, this issue has been overshadowed with market talk on the US government addressing the probability to increase its debt ceiling to avoid any posible default and a government shutdown.

The political dysfunction in Washington has not really helped these issues. Thus creating more uncertainty and even fear in the market place maing it difficult for the USD to recover inspite of Federal Housing Finance Agency's (FHFA) report that residential home prices have risen at the strongest pace since March. But this only provided some momentary relief for the USD as it stayed on a narrow range for the past few days since the opening in Asia.

Market Insight: Majors & Crosses 3

Thursday, September 19, 2013

Process of Liquidation LIVE 9 19 - GBP AUD EUR GBPJPY

GBPJPY inline with Yen Weakness

Understanding the cross rate behavior can be a little complicated compared with simply dealing with the majors. However it may sound, the Sterling's continued strength weighed heavier compared with the USD and the Japanese Yen.

Positioning earlier in anticipation for a reconfirmation of a breakout have finally gave through in today's price action from the GBPJPY cross rate.Considering currency value, the USDJPY earlier decline in reaction to the decline of the USD was justified. The value on both currency pairs have lost ground due to the Fed's decision to taper-off this September. Adjustments were made to find an eqilibrium level for the two major currency pairs that would try to rebalance the value of trade between the Japan and the US. Thus a probable re-emergance of the currency wars on trade by the central banks would be in play. This would be our fundamental interpretation as to the USDJPY backing the daily trend as of today by pulling back higher from its low @97.75 and currently @99.25 as of this writing.

GBPJPY inline with Yen Weakness

MegaTrade101 Defines - The Art of Trading

Numerous times we have been asked why -The Art of Trading?
So its about time that we clearly define Megatrade101.com - The Art of Trading.
Simply, it is the.....

  •  Attitude - and the approach towards market analysis in dealing with any market such as the Foreign Currency market, Commodity Futures or Stock Markets.
  • Rationality - in analyzing the risk/reward  factors of any investment instrument in a specific period of time and amount of exposure. Is it worth the risk?... has always been determined with a predefined strategy in any trade position before final execution.
  • Timing - is one of the most critical levels where serious due diligence should always be made before properly executing any trade position in the market within the three (3) major markets of Asia, Europe & the US trading sessions. 
This has been the process and trading methodology that MegaTrade has timelessly been applying in every aspect of trading activity. Having to pay a high tuition fee in learning these volatile markets. We hope that by sharing our simple trading philosophy and trading experience would be useful for other investors and traders alike to define and would reach a certain comfort level & trading style that best suits them. Remember, there is no one size fits all, as there is no real "Holy Grail" or a sure fire strategy of winning in any speculative form of investment trading specially the foreign Currency market. Please refer to SUMMARY GUIDELINES...

ONLY THE BEST FOR YOUR TRADES!
  

Wednesday, September 18, 2013

Euro Responds to USD Decline


As a short-recap, the opening gap of the EURUSD in the Asian trading session last Monday,the 16th of September prior to the FOMC rate decision have made some traders take fresh short positions. Since one of the commonly used technical indicator in the market is the Relative Strength Index better known as the RSI are way above the overbought area.

Aside from the expected report, earlier trade sentiments from the speculative positions have been held shorts on both the European currency pairs. These has been due to the scheduled taper-talk that had re-emerge in the market, thus keeping USD bulls overshadowed that the market's expectations were simply too high favoring the USD which they like. As reports like the Market Sentiments Index have likewise indicated a bias and one-sided bullish market survey on the fundamental-side of the USD due to the earlier report by the Fed tapering this September.

Euro Responds to USD Decline

Post-FOMC Dampens USD Bulls UPDATE: 9.18


In summary, the FOMC stance on delaying taper schedule has obviously pressured the USD which prompted the European majors including the Aussie Dollar to rally. Outperforming the rest of the currency class, major bulls USD traders and investors sentiments have been dampened by this report.

The USD Index traded to as low as 80.05 basis point where the 79.85 is in sight that could meet USD short-cover and market capitulation for most speculative positions holding short-Cable positions for some time now in particular. Although, price levels on the USD and the rest of the European majors are within their technical over-bought area. And expect daily session correction adjustments. But the relative strength of these majors like Cable is likewise supported by positive fundamentals from the UK sector.

Cable have registered a daily high after the FOMC report @1.6162, with the Euro steady @1.3540 with spill over market price sentiment in the Aisan opening session. With most traders more reluctant to take positions at these price levels leaving uncertainty for retail speculators to take to the sidelines and simply watch how the week's trading sessions would end either on a higher or corrective mode.

Post-FOMC dampens USD Bulls UPDATE: 9.18

Monday, September 16, 2013

CCY Analysis & Insight: DXY GBP AUD


The U.S. dollar equivalent to some of the majors have declined on the Asian Trading session. While at the same time Asian shares have been boosted on the start of the weel's trading. The most recent market news on Lawrence Summers running behind Janet Yellen from being the next head of the Federal Reserve have been the hightlight that prompted the USD decline.

And this is on top of the residing holdback by the US government in pursing a calculated strike on the stockpiles of chemical weapons by the Syrian government. These conditions have seemed to diminish investor's risk appetite on the USD resulting to its additional market sentiments in the safe-haven currency.

CCY Analysis & Insight: DXY GBP AUD

Friday, September 13, 2013

CCY Insight: GBPJPY DXY GBP AUD 09.13

Market talk on Lawrence Summer's nomination initially gave a lift for the USD in the Asian trading session. Although, the market's main concern that has been the real market talk was the Fed's next move on its tapering schedule.

However, market price action has been at bay while Retail Sales and the University of Michigan report figures would affect current market sentiments. In the Asian and early European sessions, the USD index have opened slightly higher @81.60 that reached a daily high @81.73; and currently making its way down back to the 81.35 low. As we made mention that any price recovery would only be short-lived with the general negative bias sentiment for the USD remain in the market.

CCY INSIGHT 0913.13

Thursday, September 12, 2013

Megatrade101.com - Site maintenance complete & Back Online

Megatrade 101.com official website is currently back online. Your continued understanding and patience is much appreciated. Thank you!

ONLY THE BEST FOR YOUR TRADES!

USD Market Snap-shot 09.11

After a brief USD rally from a more positive jobless claims figure, price swings for the USD index again, declined to its current low of 81.40 basis point. A further decline is still expected especially whenever price momentum picks-up.

However the case maybe, a technical backdrop for today's candle-bar would be critical. as the 81.40 may hold for now. A typical price swing back lower to the 80.85/90 levels may soon be retested by tomorrow in the Asian or European sessions. Pay close attention to price pull-backs nearing each trading session towards the closing day. Although, negative sentiments for the USD remains solid thus far, but today's daily closing if and whenever prices remain at this current levels and flat until the closing hours, may well be considered a pause or to the extent of an exhaustion bar.

USD Market Snap-shot 09.11



Monday, September 9, 2013

Market Insight Majors & Crosses 9.10

USD speculative bulls have been spooked by the disappointing Non-Farms Payroll report and overshadowed the Syrian tensions that drove the US Dollar index back down to 82.04 low by the end of last week's trading. Expect volatility to increase moving forward towards the closing of the third quarter of the year.

Although, market reaction have been focused on these fundamental highlights, price action in market both from the majors & crosses have been spread accordingly to investment sentiments & money flow. even when the Dow Jones is currently below the 15000 levels. While Gold prices recovered and is currently working near the USD1400./oz levels, which a a quick price reaction from the NFP report had investors and traders shifted trades the same manner have released the data.

Link: Market Insight: USD 

Thursday, September 5, 2013

Mix data still reinforces USD Strength

Although, Orders to U.S. factories fell by 2.4% in July: one of the lowest in four months, the ADP National Employment report showed that U.S. private employers added 176,000 jobs in August, nearly matching market expectations for a gain over 180,000 jobs. Meanwhile, initial weekly jobless claims fell more than expected to a seasonally adjusted figure of 323,000.

On the other hand, the Institute for Supply Management's (ISM) service sector rose more than expected in August. That likewise led the European market initially in an upbeat session mode. This has weighed heavier amongst a flurry of data.Yet, market price reaction towards the news were relatively timid with prices for EURO and CABLE continued to move lower after the report. Which led the USD Index rising @82.67 basis point, that represents a 50% Fibonacci retracement level from its recent price decline coming from a low @80.75 (Aug. 20) and a previous high @84.75 (July 09).

Mix data still reinforces USD Strength

Monday, September 2, 2013

FOREX INSIGHT: EURGBP GBPJPY EURO CABLE & YEN


Taking a cue from the US market last week, the spill over effects of the US Dollar can be felt even at the opening levels of the Asian & Euroepan markets. In the absense of some US traders celebrating the Labor Day holiday have made the market susceptible to wide price swings even to this writing.

The main focus would still be the Syrian crisis and particularly the Non-farm Payrolls data within the week's trading. A more positive tone can be attributed to fresh incentives driving the USD Index higher working above the 82.05/10 basis point made mention in our most recent market view report. Aiming the next probable resistance @83.50bp would take some serious volume and momentum towards the week which may take some time to build-up. Daily corrective moves on a session-to-session turnovers between the three major markets can be expected.

Asian, European & US Sessions - FOREX INSIGHT