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newdigital, 2015.02.21 11:16
Nikkei forecast for the week of February 23, 2015, Technical Analysis
The Nikkei as
you can see broke higher during the course of the week, slicing through
the ¥18,000 level finally. Because of this, it feels as if the market
has finally completely and totally broken out and is ready to continue
going to the ¥20,000 level. The Bank of Japan continues to add liquidity
to the marketplace, and the recent consolidation was simply the market
trying to catch its breath after the impulsive move higher from the
¥14,500 level. Because of that, we feel that this market should continue
to climb and that any time it pulls back should be thought of as value
at this point in time.
Keep in mind that the Japanese yen is a lot weaker than it used to
be, and that of course helps the Nikkei as well. It isn’t necessarily
weakening at the moment, but the two generally run hand-in-hand and it
does appear that perhaps there is a push to break out in many of the
Japanese yen related currency pairs. While it hasn’t happened yet, it’s
not uncommon for one of these markets to lead the other. Because of
this, this move doesn’t surprise us at all.
The Bank of Japan continues a very weak monetary policy, and that
should of course continue this market move higher. 20,000 is the next
large, round, psychologically significant barrier, so it makes sense
that will be where the market aims for. Besides, the previous
consolidation area dictates a move to at least ¥19,950, so at that point
in time we are close enough.
newdigital, 2015.02.21 11:19
S&P 500 forecast for the week of February 23, 2015, Technical Analysis
The S&P 500
initially fell during the course of the week, but found enough support
below to turn things back around and form a positive candle. We believe
that the S&P 500 breaking above the 2100 level of course is a sign
that the market should continue to go higher, and with that we have no
interest whatsoever in selling. We believe that the market is in a
longer-term uptrend so any time it pulls back, the S&P 500 will
simply offer value. Selling isn’t even a thought at this point.
newdigital, 2015.02.21 11:22
Gold forecast for the week of February 23, 2015, Technical Analysis
The gold markets
fell during the course of the week, testing the $1200 level for
support. They did in fact find it there, because it is not only a large,
round, psychologically significant number, but it is also congruent
with an uptrend line. Because of that, the market looks as if it could
find buying pressure here, but a break down below the $1200 level would
be fairly significant at this point in our opinion. We will wait to see
what the weekly candle brings now, and place the proper trade based upon
Looking at this chart, one cannot help but notice how choppy the gold
markets have been over the longer term. This has been highly influenced
by the value of the US dollar rising, but don’t get too hung up on the
idea that the US dollar rising automatically hurts gold, quite frankly
it can go either way. There have been times in the past where gold has
risen right along with the US dollar.
Ultimately, this could be a bit of a reaction to a lack of faith in
currency around the world. Quite frankly, it may be that people were
beginning to be concerned about the fact that the European Union has to
continue to keep its interest rates low, and the value of the Euro
continues to fall. This may simply be Europeans getting into the gold
markets in general.
Regardless, we are at a crossroads in this particular market and it
will be interesting to see how things play out. If we get enough support
in this general vicinity, we feel that this could begin a longer-term
move higher. Because of this, the longer-term trader is going to have to
wait to see what the weekly candle brings, and should be comfortable
doing so. After all, the move that we are looking at potentially
happening could be a massive one that last four months, if not years.
Giving up a few dollars here and there isn’t a big deal on the entry
when we are speaking of this type of scenario.
newdigital, 2015.02.21 11:25
EUR/USD forecast for the week of February 23, 2015, Technical Analysis
The EUR/USD pair
fell during the week as the market continues to churn between 1.13 on
the bottom, and 1.15 on the top. Because of this, it’s going to be very
difficult to trade this market from a longer-term perspective, and as a
result we feel that is probably just going to be easier to wait for some
type of bounce in order to take advantage of value in the US dollar.
Ultimately, we have no interest in buying and we believe that this
market goes down to the 1.10 handle.
newdigital, 2015.02.25 13:39
Something Interesting in Forex Video May 2013
newdigital, 2013.05.03 07:45
This is next short video by Alexander Elder from this seria: First Step to Trading Success: Choose Your Proper Time Frame
Traders often focus on finding one or many complex indicators to use, but Alexander Elder explains that deciding what time frame to analyze is the most important first step.