JDFN Financial Network

Caroline Carlin's Blog – October 2010 Archive (18)

Beliefs, anticipation and failure





What you think you know about the markets can become the worst enemy of your trading. One of the biggest obstacles a trader has to fight against is the series of strong beliefs that are deeply ingrained in our minds throughout our common education in real life. Especially those that relate to the need of being right, the almighty power of knowledge and the social stigma of experiencing losses.…



Continue

Added by Caroline Carlin on October 27, 2010 at 5:36pm — No Comments

6 essential steps for a successful trading plan

Having a detailed and written trading plan with defined rules is fundamental if you are serious about trading Forex as a professional. Among all the steps you will have to include, depending on your particular system or strategy, there are five elements which I consider are essential to your success as a Forex trader.



Step 1: Before you Trade…

Continue

Added by Caroline Carlin on October 26, 2010 at 4:53am — No Comments

5 proven rules for trend trading

Rule Number 1: Build your trading plan in the first place



A sound trading plan with technical and money management rules that you will be following with discipline is the first and foremost element to be taken into account, independently of your own trading style.



You need to have a plan for entries and know what to expect and how to proceed when the price will…

Continue

Added by Caroline Carlin on October 23, 2010 at 7:52am — No Comments

This Week's Exotic: USD/SGD on the rise

The greenback seems to be very close to a recovery in regard to Singaporean Dollar, at least on a short-term approach. On 1 hour charts, it appears to be bottoming out and forming an inverse head and shoulders pattern just about to break its neckline, which lies at 1.3024, and which represents a 38.2 Fibonacci retracement from the recent down swing.



The projection of the head would bring us to 1.3105, well above the 61.8% retracement at 1.3077; this level can however be considered as a… Continue

Added by Caroline Carlin on October 22, 2010 at 4:36am — No Comments

The 3 Basic Types of Support and Resistance

Support and Resistance are determined by the balance between supply and demand of the market at a certain level, and imply the exhaustion of the previous selling or buying activity which then gives way to a temporary reversal (usually called pullbacks or retracements) of the trend, or a definite change in the market sentiment and the beginning of a new trend in the opposite direction.



Price will “stick” to certain levels, and also tends to come back much later on to the…
Continue

Added by Caroline Carlin on October 21, 2010 at 6:21pm — No Comments

USDCHF - Monthly long-term Overview

The Swissie broke down through March 2008 all-time lows and is now hovering around the break area testing if the level will hold as a resistance. The lower downtrend line has been confirmed on weekly charts and I would expect a pullback to the 50% Fibonacci retracement at 1.0590, but there are other steps to be attained and breached at 0.9900, 1.0130, 1.0330 and 1.0400. Weekly time frame looks like a bottom, however there is plenty of room on monthly charts for a further fall towards… Continue

Added by Caroline Carlin on October 21, 2010 at 10:34am — No Comments

EURGBP - Monthly long-term Overview

The Euro-Pound has kept consolidating for the last two weeks after a long and steady ascension on the daily charts. Getting near the upper down-trend line on weekly time frame, it seems like it is making its mind up before a bounce back down and has been trying this week to revisit last highs, attained after a break of the previous week confirmed pinbar and tweezer top. Having just touched the 161.8 Fibonacci extension from last swing high on daily charts, it seems poised for a continuation to… Continue

Added by Caroline Carlin on October 20, 2010 at 11:10am — No Comments

GBPCHF - Monthly long-term Overview

Given the overall weakness of swiss franc related pairs, we can expect here too from GBPCHF to follow the bearish path until its ultimate consequences, here the pair has some more room than EURCHF on monthly charts and we have several levels to watch closely, each lying at previous channel lines in confluence with Fibonacci retracements. First would be 1.4350/60, a 138.2 extension from last highs of mid-2009 to support area at 1.7600 on weekly charts; then we do not have any obstacles in the… Continue

Added by Caroline Carlin on October 19, 2010 at 6:12am — No Comments

EURCHF - Monthly long-term Overview

Monthly charts show us a steady fall going steeper and steeper, with lows very near of the lower downtrend line, and an impulsive correction almost reaching a 61.8% Fibonacci retracement. October has seen it trading in a very tight range by now, but the narrower trend level hasn’t been breached yet. On weekly time frame, we can appreciate it weaving a series of bearish flags around the line resistance, which if broken would lead us to next level near 1.4350 which is the previous upper line of… Continue

Added by Caroline Carlin on October 19, 2010 at 5:16am — No Comments

GBPUSD - Monthly long-term Overview

The British Pound vs. Dollar is presently trading inside a rising wedge on weekly charts, which itself inscribes inside a falling wedge and bearish flag pattern on monthly time frame. On a long-term appreciation, a 138.2 Fibonacci extension from the up-swing that started in the middle of May could be the target, inside a resistance area of 1.7040, and matching the highs of November 2009 at 1.6875. However in Daily charts we seem to have reached a double top with a strong rejection from… Continue

Added by Caroline Carlin on October 18, 2010 at 2:26am — No Comments

EURUSD - Monthly long-term Overview

Euro-Dollar is slowly falling inside a descending channel on monthly charts. There is a resistance area below the upper trend line between 1.4195 and 1.4270, which if broken to the upside would lead to next area of resistance between 1.4310 and 1.4360. A pull-back to the 50% Fibonacci retracement would bring us down to around 1.3370 which would retest the break of the previous weekly up-swing. On this time-frame, we are however inside an ascending channel which could easily lead us to the upper… Continue

Added by Caroline Carlin on October 18, 2010 at 1:30am — No Comments

USDCAD - Monthly long-term Overview

The Loonie has been ranging above parity on monthly charts all throughout this year 2010, showing a persistent consolidation on weekly charts following around the middle line of the monthly pitchfork. On Daily charts it is trading inside a falling wedge which would suggest a probability of pulling back towards 1.0250 for a second retest of the recently broken level.



In the last three days USDCAD went for a while below parity making new lows, and is now trading back up barely at 1.000,… Continue

Added by Caroline Carlin on October 15, 2010 at 4:30am — No Comments

GBPJPY - Monthly long-term Overview

The British Pound versus Yen is presenting a pronounced bearish flag on monthly charts, a double-bottom on weekly in a tight descending channel and a bullish flag on daily time frame, where is is trading inside a symmetrical triangle. Price has been ranging on daily time frame for the last two days but the pair still looks very bearish and has been following a steady descent inside the weekly channel. The pair might push up to the 50% Fibonacci retracement which coincides with the upper trend… Continue

Added by Caroline Carlin on October 15, 2010 at 3:30am — No Comments

EURJPY - Monthly long-term Overview

The Euro-Yen presents a Falling wedge on monthly charts after breaking the lower ascending trend line, with a rebound from the new lows to retest the break.On weekly charts this pair is still navigating inside the descending channel, pointing towards the upper line, while on daily as of today the rising wedge showing on the chart below has been broken, retesting 113.00 level and later on was rejected back up where it has been ranging over the last two days.



This pair still looks… Continue

Added by Caroline Carlin on October 15, 2010 at 3:00am — No Comments

USDJPY - Monthly long-term Overview

USDJPY has kept running down to the lower trend line after breaking level 138.2 of extension on the monthly charts.The pin bar showing on daily time frame three days ago is presently failed as price broke below the lows and is approaching the lower base of the descending channel, and is it very probable that it will try to reach 161.8 Fibonacci extension on weekly.



Should that level be broken we could expect a greater fall to the base of the pitchfork weekly channel , however a… Continue

Added by Caroline Carlin on October 14, 2010 at 4:30am — No Comments

AUDUSD - Monthly long-term Overview

After breaking psychological level 0.9900 last week, Australian Dollar turned back into the channel for a fair retracement to retest 0.9790 former broken resistance, now holding as support, a little further than what we were expecting on last NFP Friday. Profits were to be made on both sides as it went back to the highs with much strength, and ended on a doji on the last 4 hour candle.



This week started with a gap up but steam…

Continue

Added by Caroline Carlin on October 11, 2010 at 7:30am — No Comments

Monthly General Overview for 11 currency pairs - SUMMARY - October 2010

Prices at last Friday's close (October 8, 2010)



The following tables show the support and resistance levels for 11 currency pairs along with the risk-to-reward ratio calculations issued by Forex AI trading platform and a forecast of the trend direction on three long-term and medium term time frames with…

Continue

Added by Caroline Carlin on October 10, 2010 at 4:04pm — No Comments

Weekly scope: AUD/USD and Gold breakthroughs

After a long deliberation around psychological level 0.9700, the Australian Dollar surged and broke its most recent resistance (0.9750) and is deliberately heading towards last all-time highs of 0.9850 in July 2008. We also have the weekly Pitchfork median line pointing at about parity, and if the highs are broken there is no limit for a final push to achieve an equal level with the greenback.…





Continue

Added by Caroline Carlin on October 6, 2010 at 6:00am — No Comments

About

James Dicks created this Ning Network.

© 2024   Created by James Dicks.   Powered by

Badges  |  Report an Issue  |  Terms of Service