My Complete Trading Plan

Hey traders, hope everything is going well…

What do you think about the market in the last few week?

Sometimes it’s difficult to trade, but in the last few weeks that certainly hasn’t been the case.

A few currency pairs have very clear market condition, and at the end, those are the ones we need to focus on.

What do I mean by clear market condition?

  • Clear S&R levels
  • Clear Swings

When you’ve got both of them, you know what the market is likely to do in the following hours/days, and that of course helps us take better decisions.

So here is my trading plan for a few of the currency pairs I’m actually monitoring.

GBPAUD Analysis

The GBPAUD is clearly trading in a very clear bullish condition, it was clearly rejected from an important support level and it is likely to continue its way up at least until it reaches its next LT resistance level.

GBPAUD 1D

That means that I’m going to be looking for long opportunities.

Now we need to look at the short term charts and see if we’ve got clear levels there.

GBPAUD 1H

The resistance level isn’t that clear, so I wouldn’t take a breakout trade from that level.

However, from the support side its pretty clear, so I will definitely feel comfortable looking for long opportunities from the bottom of the range.

EURAUD Analysis

The EURAUD is trading near an important long term support level.

EURAUD 1D

And as you already know, when the market trades near an important LT level, it tends to range in the short term charts…

Now lets take a look at the short term chart:

EURAUD 1H

I like what I see here… Since we’ve got a very clear short term range, we have three possible trading scenarios:

  1. If the EURAUD keeps trading in between the range, we can trade inside the range, looking for short opportunities around the upper extreme and long opportunities around the bottom extreme.
  2. If the EURAUD breaks the upper resistance level it will trigger a bullish condition and only long opportunities will be in play.
  3. If it breaks through the bottom of the range it will trigger a bearish condition and only short opportunities will be in play.

AUDNZD Analysis

The AUDNZD had been rejected from an important resistance level:

AUDNZD 1D

What is important about this chart is that it is likely to continue its way down at least until it reaches its next LT support level which is at 1.0554

So I’m going to be looking for short opportunities.

Now, here is the short term chart:

AUDNZD 1H

It already broke through an important support level, which could have been a good place to take a trade.

Another possibility would be to wait for retracement to the ST resistance level around 1.0746, and if we get a significant pattern with downward pressure we could go short from there.

Your turn

What do you think about my trading plan?

Are you trading any of these pairs?

What other currency pairs are you trading?

Share your thoughts.

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Raul Lopez

I've been trading the markets for more than 15 years. I believe the best way to trade is by adapting to the market conditions. You can learn it too, join our community .

  • Antonio

    Thanks Raul, best regards !

  • Antonio

    Hi Raul, can be successfully used this strategy for commodity and stocks ?

    • Raul Lopez

      Hey Antonio, yes, definitely… You just need to make sure you are trading liquid instruments (high volume stocks and commodities).

      Let mw know if you have any question!

  • Tim van Niekerk

    Hi Raul, aren’t the EURAUD short and AUDNZD short conflicting trades? You’d need the Aud to weaken with one and strengthen with the other wouldn’t you? Unless the Euro and NZD were both weakening and strengthening…

    Love your methods. I’ve made some good pips so far:-)

    • Raul Lopez

      Hello Tim,

      You have a good point… But I have the EURAUD trading at an important level, and a short trade here would be only for the short term – inside the range (unless it breaks the bottom of the range, which will trigger a bearish condition). While the AUDNZD is already in a bearish condition…

      But who knows, the EURAUD might break the upper resistance level, and if that’s the case, we would be looking for long opportunities…

      That’s the beauty of this system, I just let the market tell me which way to trade…

      Another point… I never take a trade decision based on what other currency or pair is doing…

      I appreciate your comment/feedback, please keep them coming!

      Have a great weekend!

  • Jude

    Excellent! Plain and Simple Analysis. But i just want to ask when you’re analyzing the market and make trading decisions are you solely base on Technical? Thanks Raul!

    • Raul Lopez

      That’s correct Jude, only technical analysis…

      Remember one of the main principles of technical analysis is that all information available (even that of the insiders) is reflected in the chart…

      Besides, fundamental analysis tells you why the market is moving down or up (or stalling), while technical analysis tells you what is likely to happen…

      Have a great weekend!