Recent content by bforex

GBPUSD: The GBP is still holding up quite well after finding Support at 1.43. Lows several times traded below 1.4250 but were always pushed back up. We are noticing a number of long wicked candles including 3 Doji's over the last 5 sessions. Both of these observation suggest a true lack of...

Every trend goes through a period of consolidation or burn out. The simplest way to identify consolidation is to observe when prices action move sideways instead of directionally up or down. The longer that period of consolidation lasts, typically the more pronounced the ensuing breakout will...

AUDUSD: We have been analyzing the commodity currencies fall from grace since the global sell off began a mere 2 weeks ago. The AUD which had been trading very bullish against the Greenback since early February has plummeted through the 50, 100 and 200 day MA's. We commented that .8625 was...

Every technician has their take on not only how to measure the velocity of price, but whether longs and shorts move at the same speed when they rise and fall. We are of the school of thought that believes shorts will invariable fall faster than longs. Look at the macro chart perspectives below...

AUDUSD: Commodities, and in particular Oil, has sold off. The Aussie, takings its place amongst the commodity linked currencies has also dropped drastically during this global market sell off. It went from finding near term Support above the 50 day Moving Average (in green) to crashing straight...

The Greenback The USD continued to find takers as the trading day grew on Monday. The greenback gained versus the major currencies and this came as Wall Street turned in a positive day retracing much of the ground it lost on Friday. The ISM Manufacturing PMI was released yesterday and turned in...

EURUSD: The EUR has been under pressure lately, but is bouncing off lows after touching an intra day low just north of 1.31. The 50 day moving average will act as strong Resistance for the EUR. However, a close above the 50 day MA coupled with a close above the 23.6% Fibonacci Retrace at 1.36...

GBPUSD: We spoke about the Pound in our analysis yesterday. Current Spot is holding below the 50 day moving average. At 1.5173, the Pound is clearly back in range bound territory versus the Greenback. To measure the strength of the move we have added the Relative Strength Index (RSI) to the...

USDJPY: The Dollar Yen trade, also known as the “Carry” has become a measure for risk appetite. There are several types of buyer in the market. You have buyers who believe what they are buying will appreciate and you have those who borrowed, or shorted a currency and now wish to buy it back to...

EURUSD: Although there are always intra-day plays its a great idea especially after major market moves to reevaluate Support and Resistance (S&R). Major Resistance still sits at 1.38 while Support is holding just south of 1.33. The EUR is in the process of building a upwards sloping S&R trend...

USDCAD: The CAD had explosive price action Tuesday, gaining nearly 1.7%. Look at the 1 hour chart below. We use a line chart in place of candles as a clear pattern sticks out. We also over-layed in red an 8 moving average to smooth price action out further. What we see develop is a Head &...

USDJPY: Whether you day trade off a tick chart or look at the market once a day from a daily chart, you need a perspective representative of price but not always actually price itself. Focus on just the candles on the chart below. Although the trend is apparent in hindsight, it would be very...

EURUSD: There are many ways to trade and an endless amount of technicals a trader can look at. The key is to keep it simple and keep it consistent. We focus a lot of attention on Moving Averages as a means for measuring price action. As far as chart patterns go we always look for a Step...

GOLD: Gold has been trading with relatively low momentum recently. It has had a hard time staying above the 50 day and 100 day moving averages. A close above recent Resistance at 1,140, which represents the Head of the Head & Shoulders chart pattern we discussed 2 weeks ago, would give Gold a...

USDCHF: The Swiss Franc continues to ride the 50 day Moving Average as it looks for direction. The 100 day MA is converging on the 200 day MA. If those two MA's cross it will signal further weakness for the CHF. When major moving averages cross there is usually a period of price consolidation as...