Trader456's trading ideas - page 46

 

At Tactical Trading Academy, you will learn the following in our Learn Forex Program:

1. You will learn how to identify a good entry level with risk reward ratio of 1:2.

2. You will learn to access the fundamental strength of individual currency. With the information, you will buy the strong currency and sell the weak currency to form 1 forex pair.
3. Follow the trades of the insiders who are in the industry. They are also call the Smart Traders because they know more than most people regarding that particular currency.
4. Find out the seasonal effect of various currency pairs. We want to buy during a strong season and sell during a weak season.


Let me share with you on point 3: Follow the trades of the insiders.

Using AUDUSD as an example. See the chart below. The upper panel shows the trades of the insiders and the lower panel shows the AUDUSD chart. We will buy when the insiders have bought huge contracts of Australian dollar. The insiders are the best market timers.

In early 2009, insiders had bought huge contracts of Australian dollar pointed by the 1st circle. AUDUSD had moved up from 0.6500 to 0.9000. This is a profit of 2500 pips.

In mid 2010, insider had bought huge contracts of Australian dollar pointed by the 2nd circle. AUDUSD had moved up from 0.8300 to 1.0000. This is a profit of 1700 pips.

In end 2011, insider had bought huge contracts of Australian dollar pointed by the 3rd circle. AUDUSD had moved up from 0.9800 to 1.0800. This is a profit of 1000 pips.

Now mid 2012, insider had bought huge contracts of Australian dollar pointed by the 4th circle. AUDUSD move up from 0.9800 to ????. We will see a huge profit again!

Go sign up for my learn forex trading course to be able to fish for yourself. My courses teaches you the exact system I used and still using to profit from the trades that you see here. Very affordable unlike the Guru's exotic fees. Personal coaching time to guide you along the way. Your success is our success, so I definitely want you to be successful after learning from me.

Regards,

BL, CEO of Tactical Trading Academy aka Online Trading Academy
- For Your Profits, Your Success Is Our Success!

“If money is your hope for independence, you will never have it. The only real security that a man can have in the world is a reserve of knowledge, experience, and ability.” – Henry F

 

Capitalise on Market’s mistak

Internet is full of market commentary that try to make a prediction about the future. But there are very few that really mentioned if the past predictions have been correct or wrong. So I decided to write this newsletter to write about my trading gains and mistakes.

These past 3 months has been exciting and most importantly PROFITABLE. We have made a few assumptions in the market and all have come true.

1. USDJPY rises 800 pips from 76.00 to 84.00. Reason is because US have a series of positive economic data and market expects US to rise interest rate pretty soon. Hence US treasury yield rises and this pushes USDJPY up to 84.00. However we feel that market’s expectation is WRONG. US economic data is good only for a temporary period. During this period USDJPY rise 800 pips within 2 months, to me this is simply too fast and too steep. So we had initiated a sellUSDJPY trade at 83.32.

Our prediction is correct. Positive US economic data is only temporary. A LOUSY Non farm payroll data has changed market’s expectation on the interest rate direction. Market no longer feels that US will raise interest rate in the short term. US treasury yield falls and pushed USDJPY down as well. We had closed our USDJPY trade at 78.48 for484 pips profit.

2. During the period of March to April this year, most of the major currencies (EUR, AUD, NZD, SGD) have turn weak and fell against the USD except for one particular currency. That currency is GBP and it strike out like a sore thumb. GBPUSD kept rising in the month of March and April while most USD crosses are falling. So I did some research to find out why. My research showed that GBPUSD remained strong because UK still holds AAA credit ratings and Olympics at London is coming. One analyst even commented that GBP is a safe haven currency.

In my mind this market expectation is WRONG. UK is in recession now and this means that AAA credit rating is at risk of downgrading. As for the Olympic, it will only create a short term positive sentiment. My job as a trader is to capitalize on market’s mistake. So Isold GBPUSD at 1.6040 and sold GBPJPY at 128.15.

Indeed I was right, GBPUSD and GBPJPY had a deep plunged after I had entered my trades. I managed to closed GBPUSD at 1.5706 with 334 pips profit and closed GBPJPY at 124.60 with 355 pips profit.

3. Trading opportunities come again in June. News of China economy slowing down is everywhere in the media. News of Greece possible existing Eurozone made matters worst. There are analysts debating whether is this a hard landing or a soft landing. This naturally pushed commodity currencies down and there are all trading at SUPER CHEAP PRICE. So I use this opportunity to buy AUDUSD at 0.9850, buy NZDUSD at 0.7550 and sell USDCAD at 1.0301.

Many of my students asked me why am I buying the commodity currencies. Is it because I feel that Eurozone crisis is coming to an end? Is it because I feel that China economy will start to pick up. My answer is all the bad news have been priced in. You only need a small good news to push the prices up.

A small good news did come up. Commodity prices start to rebound after Greece election (one less thing to worry). Greece election result shows that Greece will stay in Eurozone. I managed to close my NZDUSD at 0.7755 with 205 pips profit. My AUDUSD trade is still open, current price at 1.0188 give me a profit of 338 pips. My USDCAD trade is still open, current price at 1.0193 gives me a profit of 108 pips.

If you are not yet our students and wish to learn from our proven forex trading strategy, click here. If you are our ex-students and wish to receive our trade alerts, click here.

Talk to you again!

Go sign up for my learn forex trading course or undervalued stocks to invest in course, to be able to fish for yourself. My courses teaches you the exact system I used and still using to profit from the trades that you see here. Very affordable unlike the Guru's exotic fees. Personal coaching time to guide you along the way. Your success is our success, so I definitely want you to be successful after learning from me.

Regards,

BL, CEO of Tactical Trading Academy aka Online Trading Academy

- For Your Profits, Your Success Is Our Success!

 

Update on my Forex contest:

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FX_Contest.jpg  77 kb
 

Stock market has been more volatile for the past 1 year due to “risk on” and “risk off” with central focus on Euro crisis. But that actually presents more investment opportunities in our opinion. A sentence of caution: We need to be nimble in current environm

In October 2011, I had informed my students to get ready for a year end rally, see here. Many students were surprised by my call to buy as there are bad news everywhere from the media regarding European crisis. In addition stock market looked very weak at that time. My rational is that “the best time to buy is when there is blood on the street”. Indeed stock market bottomed at the endkof November 2011, stock market starts to rally for the next 3 month

In March 2012, stock market had moved up 15% to 20% from the bottom. I sent out an email to my students warning them to reduce their equity exposure,see here.

So we booked profits on the stocks that we had previously bought:

We bought Aeropostale and sold for 12% profit.

We bought Dolby Laboratories and sold for 14% profit.

We bought ResMed and Harris Crop, sold them for 14% profit.

We bought Teva Phamautical and sold for 10% profit.

We bought Gold ETF and sold for 10% profit.

We bought Staples Inc and Li Ning, sold them for 5% profit.

Indeed S&P500 fell 10% from 1413 to 1267 in end April 2012. Since we had sold off most of our stocks, we have more cash now to buy beaten down stocks.

At the 1st quarter of this year, there are many analysts predicting that China will slow down. Economic data have shown that China GDP, manufacturing data and property prices had indeed slow down. Our job as an investor is NOT to react to current data. Financial market is forward looking, bad news is already factored in the price. Our job as an investor is to predict what will happen in the future. This is a fundamental mistake made by most investors. Most investors start to panic and sell their stock holdings when they see bad news everywhere, many times ending up selling near the low.

I am not worried about China slowdown. Historically China GDP moves from 7% to 14%. Lastest China GDP data of 8.4% tells me that China economy could be bottoming soon. Furthermore China government had taken steps to simulate the economy by cutting interest rate, see here. This increases the chance of China economy rebounds.

Thanks to China slowdown, I had identified a few opportunities in the stock market:

1. Commodity stocks are beaten down to very attractive levels. Market perceives that since China slows down hence there is less demand for industrial metals. We think that there is just a temporary problem. China slows down is not long term problem. I particularly like commodity stocks that own industrial minerals. This is because once the industrial minerals are taken from the ground, they are irreplaceable. We had informed our Learn Investing students on 2 commodity stocks to buy now. They have since move up 5%.

2. Property stocks listed in Hong Kong. Falling China property price had pushed down property stocks listed in Hong Kong. We believe that once China economy picks up, Hong Kong property stocks will move up. We are waiting for lower price to buy them.

Using our proprietary strategy we have been able to generate consistent profits in our stock investment. Our trading statements are evidences that we are capable of finding profitable investments. If you are not yet our Learn investing student and wish to learn from us, click here to sign up.

Regards

Market strategist

Tactical Trading Academy

Nothing happens by itself…it all will come your way, once you understand that you have to make it come your way, by your own exertions” – Ben Ste

 

If you want a neutral party to access my forex trading performance, I had an account at Zulutrade.com:

 

We have effectively turned $50,000 to $128,674.42 in just 10 months (Sept-July 2012). Attached is my trading statement.

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Our Analysis On Forex Trading

Most forex traders rely on technical to trade. To our view, technical is just one of the important criteria to consider to trade successfully. We look at many other criterias as well.

Our analysis of forex trading consist of 4 parts:

1. Technical

Most indicators are not useful because indicators by nature are lagged. Most indicators tell us to buy too late and sell too early. This often resulting in traders buying too high and selling too low. But we had discovered indicators that are not lagged and very good for identification of entry + exit levels in our forex trading.

2. Fundamental

Forex trading is basically a relative game. You are comparing currency A against currency B. So to make money we have to buy a strong currency and sell a weak currency to form 1 forex pair. We are using a few economic indicators to help you identify which currencies are strong and which currencies are weak. You do not need to be an economist to do that.

3. Insiders’ trade

Most people are think that forex market is too big to track insiders’ trades. That is definitely NOT TRUE. We had discovered a way to track insiders’ trades. So we will buy currencies that insiders are buying and we will sell currencies that insiders are selling. Insiders are the BEST MARKET TIMERS that I know, seriously!

4. Seasonal effect

Currencies have seasonal trends. This means that there are repeated patterns. Repeated patterns make forex movement predictable. We like to buy forex pairs on their seasonally strong months and sell them on their seasonally weak months. We will perform simple quantitative analysis to find out which months are strong and weak for individual currency pairs.

Conclusion:

When we enter a trade, we make sure that all the 4 parts comes to the same conclusion. This has helped us to achieve high success rate as well as huge pips profits. We will teach all these 4 steps to our forex students.

Don’t just believe my words, check out mylive forex statements!

To sign up for our forex education program, click here:

Sign Up To Learn The System

Regards,

BL, CEO of Tactical Trading Academy aka Online Trading Academy

– For Your Profits, Your Success Is Our Success

“If money is your hope for independence, you will never have it. The only real security that a man can have in the world is a reserve of knowledge, experience, and ability.” – Henry F

 

After QE3 was announced, many investment ”experts” advise publicly on television programmes and newspapers that we should buy stocks, sell US dollar, and buy into precious metals like gold and silve

GUESS WHAT?

We had done all the opposite! We had took profit on our spot silver (XAGUSD), took profit on our gold ETF (GLD) & silver ETF (SLV) and initiated a new position to buy USD (sell GBPUSD).

WHY?

The financial market is generally a zero sum game. You win $1000 because somebody had lost $1000 OR miss the opportunity to earn that $1000. Every investors and traders want to make money in their trading. So to make money you have to be smarter and think one step ahead of most investors.

When a good news like QE3 is announced, stock price and other financial assets may be too expensive to buy (good news have been priced in), simply means you are already few steps behind most investors.

We have buy in the midst of a crisis where there is maximum pessimism, that’s when share price or currency are at its cheapest. In the midst of a crisis, you have to think analytically if this crisis will be solved 6 months down the road

At Tactical Trading Academy (parent of golearnforex.com and findundervaluedstocks.com), we will teach our students to identify the level of maximum pessimism. That is where good opportunities in stock market and currencies can be found.

Regards,

BL, CEO of Tactical Trading Academy – For Your Profits, Your Success Is OurSuccess!

Anyone who stops learning is old, whether at twenty or eighty. Anyone who keeps learning stays young. The greatest thing in life is to keep your mind young – Henry For

 

GBPUSD: Open Buy Trade (Delayed)

This post was sent out to our subscribers on 9 April 2013.

GBPUSD has found support level at 1.4800 on the weekly chart.

Insiders have signal buy for GBPUSD. The arrows in the chart show the levels whereby insiders had signed buy for British Pound in the past. Based on past behaviour in May 2010 and October 2011, the upside move for GBPUSD is at least 400 pips.

Buy GBPUSD at 1.5294

Stop level at 1.4800

Target level at 1.5600

To sign up for our forex education program, click on the link: Sign Up To Learn The System

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Regards,

BL, CEO of Tactical Trading Academy – For Your Profits, Your Success Is Our Success

“Don’t ever let someone tell you, you can’t do something. Not even me. You got a dream, you got to protect it. People can’t do something themselves, they want to tell you you can’t do it. You want something, go get it. Period. All right?” – Chris Gardner, The Pursuit of Ha

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