Hey traders, how is your trading going so far this week?
I’ve got to admit that the market has been difficult to trade in the last couple of weeks… mostly because most of the currency pairs have been trading in a very tight range.
And not in a well defined range (those that are easy to trade) but in a range without clear S&R level, no clear swings, etc.
That’s the reason I’ve been very cautious about the market, and havent placed too many trades in the last few weeks.
Plus, the out-of-date NFP report released yesterday, the “invisible” announcement that hit the market a few hours ago (did you know what happened there by the way?)…
It’s funny though… because some of the currency pairs that I wasnt watching at the beginning of the week are the ones where I’m currently looking for trade opportunities…
AUDCHF, EURUSD, forex analysis, nzdusd
How is your trading so far?
Have you noticed that the market has been a little slower than usual?
At least the majors have been trading in a very tight range (well… most of them at least).
Do you agree with me?
So here are a few things you need to take in consideration for the rest of the week.
AUDNZD, EURAUD, forex, forex analysis
As most if you already know, I like to start off my analysis using the long term charts looking for cues about what each currency is likely to do. Here is how I do it.
I do my analysis based on the market swings, so I first try to identify these swing in the long term charts.
Here is a good example:
forex analysis, GBPAUD Analysis
Seriously, I want you to stop for moment and think about the currency pair you are about to trade.
If you are taking your trade off the short term charts, take a look at a higher timeframe and ask yourself:
forex analysis, market condition
Your charts look like this one?
C’mon, give the market a break! It’s not like the more lines you put on your charts, the more consistent you will get!
With all these lines and indicators it’s almost impossible to determine what the market is likely to do, I mean, I even had to put on my glasses on to see the candlesticks!
forex analysis, support and resistance