Hey traders, hope everything is great with your trading, life, etc…
Yesterday was a very complicated day for me, and this time not because of the market, but because I was very very very tired…
I ran a marathon (42 kms or 26.2 miles) on sunday. And oh boy, what an experience.
When I was at the 35th km, I was thinking to myself, why am I doing this? At this point in the race, every step is painful, its cold outside, etc.
But when I crossed the line, everything made sense, the satisfaction you feel at that moment is like nothing else, it would be like winning the most difficult trade ever…
I’ll show you a picture of me crossing the line on my next article…
Anyway, lets get to the market…
As you already know, every good trade starts with good analysis. It doesn’t matter what system you use, what timeframes you trade, the tools you use, etc.
You need to make sure you are trading the right currency pairs in the right direction, and for that reason, you need to do your analysis before starting to look for your entries.
I’ve done mine, and these are the currency pairs that I’m closely watching because of their clarity.
If you want to make a ton of pips you better watch this one. The GBPJPY is probably the one with the greatest profit potential.
What do I mean by this?
Let me show you the chart first:
It is currently trading in a very clear bullish condition and in order to find the next LT resistance level you need to look for the weekly chart, which is at 179.74. The GBPJPY is currently trading at 169.03 so go figure, it is more than 1000 pips away from where it is currently trading at.
For that reason, I’m looking for long opportunities in the GBPJPY in the short term charts.
3 weeks ago I did analyze the CHFJPY and told you that if it manages to break the ST resistance level it will trigger a bullish condition. Long story short, it managed to break that resistance level and it has been going up since then…
I have a long trade here, and I’m still looking to add to this position.
Here is the LT chart:
Some of you might ask: aren’t you afraid of a retracement?
I know it will retrace at some point, but that retracement could happen 1000 pips higher, so as long as the CHFJPY keeps moving up, I’m going to keep looking for long opportunities.
I’m also looking for short opportunities in the CADCHF.
If you analyze the LT charts, you’ll see that it clearly broke through an important support level and now it is likely to continue its way down until it hits the next LT support at 0.7856
This one is precisely the type of currency pairs that I like to trade, the ones that are as clear as water.
It is currently trading at 0.8358 and its next LT support level is at 0.7856, se we’ve got plenty of room to take our trades.
Other pairs I’m currently trading are: AUDCHF (short), GBPUSD (long), GBPCAD (long), AUDNZD (short), and others…
What do you think about the currency pairs that I’m currently trading?
What other pairs are you currently trading?