Key Points from the Video
- Overview of the trading day
- Exciting, exhilarating day of forex trading
- Drop in the market early in the day
- Support and resistance levels identified
- Moving average analysis
- Breakdown of support triggered short trade
Trading the drop
- Took profit near initial targets
- Market continued to flush lower throughout the day
Review of other currency pairs
- EUR/USD – bounce failed at moving average
- AUD/USD – hit profit target
- NZD/USD – continued trending higher
- USD/JPY – nice pullback for potential long
Analysis and Next Steps
- Profitable forex trades identified using technical analysis
- Support, resistance, moving averages
- Breakouts and reversals
Impact of upcoming news events
- PPI data tomorrow
- Yen news tonight
Continued watch on open trades and planning next moves
- Manage profitable trades
- Consider new setups forming
- Update on progress going forward
- Successful forex trading day reviewed
- Key lessons and takeaways
- Ongoing tracking of trades using technical analysis
So today was a very exciting, very exhilarating day of trading. We did get this drop here.
We had the trade outline for both sides as far as having the either support or resistance that would show itself at this area here. Earlier today, that area did break down. When that area broke down, that was a clear short.
And with that short, we did have the trade outline because we had the 20 period moving average curling down as well and acting as resistance as it had been losing its moving averages throughout the week as far as coming into today. So with that trade, the trade idea did indeed break down. When it broke down, we had some initial areas where we were saying that we would take profit.
One of those major areas being right underneath 105, that was one of the first areas that we thought that the selling would stop. It paused for a little bit and then continued and continued to just flush the entire day. Just nothing but absolute flushing the entire day.
And so incredible trade. It looks to be pausing holding here at the current moment around that 104 range. But again, we can still see this one continue to move depending on what happens for the rest of the week because we do have PPI coming out tomorrow for the dollar as well.
So we’ll see kind of how things shake out with that. And then we also have coming in later as far as more news coming in later on in the week also. So it’s going to be super important to continue to watch this and continue to see how this pans out.
We did get a severe pullback on the call where we were taking this trade idea together. We talked about this bounce that wasn’t as high as this one. So making a higher and making a lower high.
And with this lower high, it was indeed rejected. And once it was rejected, it came back down and the trade idea did break. So once the trade idea broke down, the initial place that we were looking for was this box to hold.
The idea was not that the 100 period moving average would hold at all. And that did indeed play out just how we planned for it. But again, we did not foresee and we didn’t call for the conservative investments that we take, did not call and say that the move would take place and just break down through everything.
So again, a trade that just continues to move in your favor, you just continue to stay with that trade, continue to stick with that trade because it then ended up breaking its 200 period moving average as well. And so a very nice trade idea here today as well with this one and the same thing on the reverse. So this one, again, profit taking areas here thinking that, okay, the trade is exhausted by now.
And it wasn’t. It just continued to move and it made it all the way up to the wild card area and again, coming down from its moving averages here.
So bouncing off of the 20 here, very similar situation for the EU idea, again, coming off of its 20 period moving average.
So after coming off of this 20 period moving average, broke right through the major quarter area, went right through our profit area and that 108 area, and then built a home and built a base on top of 108 and continued to push up and made it up to the next minor quarter level. So major moves there, also major moves with the AU and the NU as well. So with the AU idea, this one did make it back up to the wild card area.
And so we talked about here the importance of this area, and it literally just shattered straight through this area and just continued the entire day. And the same thing over here for the Nu idea. Again, very conservative trade idea for it.
Because, again, this trade idea already right here was about seven to one, eight to one, and then it just continued to go up the entire day just nonstop. And so just really good trade ideas, just so that we see it and we know kind of where things are. Very nice pullback here for the UJ idea.
Again, not as big of a pullback as before, but a very nice pullback here. And so we’ll continue to see how this one plays out. We’ll see if this minor quarter level of 150 25 does continue to hold off.
It does indeed want to come down and make a touch at 150 before either continuing up or before retreating further. And so this one does have that bias of bouncing just because of the fact that we do have that Yen news coming out tonight. And so the news is not looking good for the yen.
So continue to watch that and see kind of how everything does decide to play out. So again, some very nice trade ideas, some very nice things taking place today. And we’ll continue to keep you guys posted and keep you guys updated as to everything as it pertains to the trade ideas that we’re taking.