(short in progress) week19 AUDUSD resistance shown after rate cut

After a massive plunge from AUD rate cut on 3rd May 2016, the topping pattern became clearer.

D1
The first D1 chart shows a resistance confluence trendline.

week19 AUDUSD D1 resistance from trendline confluence 040516

Zooming in, this resistance confluence shows a price pattern in which 5 weeks of high was flushed. Price is currently now perched at the support level of 0.7500 a psychological level as well. It can also be seen as a neckline as previous 2 attempts to break were not successful.

week19 AUDUSD D1 magnified 040516

Clue to short this will be from a bearish #trappedtrader signal, so that legitimizes the reason to why shorting will be done despite being at the current neckline suport. Should there be more retracement then more shorts will be added in.

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week45 NZDJPY D1 shorting oppoturnity from a head and shoulder pattern

How can #trappedtraders signal be used in conjunction with classical chart patterns for better trading synergy?

D1

Price has reached a trendline resistance confluence, with the head and shoulders validating the resistance confluence of the trendline. The head and shoulder is also a manifestation of the dow theory at work when the zigzag up is violated and hence suggests a halt to the uptrend for several weeks. With the print of a shooting star on yesterday’s close, it thus suggest this head and shoulder pattern might be going to cause another downmove.

week45 nzdjpy D1 trappedtraders 111015

h4

Going into h4, the shape of the head and shoulders is apparent. What is even better for a chartist will be a small blag, print by multi days worth of price movement. This represents the neckline being tested, and this bear flag is validated by the daily shooting star ( #trappedtrader) signal. An immediate short will be good if we wish to capture some pips within the next few days.

week45 NZDJPY h4 head and shoulders necklien retest 101115

( awaiting fill) week25 NZDJPY d1 setting blind sell limit from pivot

D1

After RBNZ announcement of rate cut, price completed the head and shoulders in style. I have extensive observations on pivot in d1 line chart for the past 2 years. I notice that price often does a sharp turn from their levels.

I have thus placed a blind sell limit from the 2 x d1 pivot/ neckline / 4weeks low for a play on reactionary spike.

week24 NZDJPY D1 sell limi 8805 from neckline 120615

This will be something for week25.

(+138 points ) week23 ASX topping out, neckline retest

there were already signs of topping out in week22.

week22 ASX D1 line chart bearflag wr2b 280915

h4

A down flag had already appeared.

week22 ASX wr2b bearflag 280515

Flushed

On this, a first short was entered. However the reality was that the position was taken out. My learning point

was that i have to manage better the SL to avoid getting flushed.

week23 ASX D1 stoppedout -80 better to wait for a bearish day expansion 300515

2nd June 2015

A more definite signal to the end of the pivot still lies with an expansion day.

Change in colored expansion days suggests the end of the pivot. I reshorted with smaller positions upon it.

week23 ASX h4 bearflag 13TL 030615

updated 080615

ASX D1 trade outcome

exited at the bottom of the bear flag although eventually there was more downmove.

week23 ASX D1 trade outcome +100 080615

( 1st pos +120 , 2 pos in progress) week11 NZDJPY big A trade with classic Double Top neckline retrace

Had been waiting for this trade for a long time with big picture planning.

D1

week11 nzdjpy d1 dt neckline retest 030915

this is classic neckline retest of a Double Top. If price should print a right shoulder, then it will be the highest probability retest via a hns.

h4

The bearish engulfing day was significant because it happened near the confluence of the neckline as well as a f6. A topping pattern here will be extremely high probability.

week11 NZDJPY h4 bearish engulfing 030915