Free Forex Signal 22 May 2007

Tuesday, May 22, 2007

Short GJ @ 239.46 or better.
Target @ 238.48, 237.90, hold with daily trend.

Still downtrend. Just take short.

Still downtred. Just take short position but beware EU has nasty swing.

Beware. A retrace or even a change in trend is coming soon. Exit at will and wait for confirmation to go long.

Trade at your own risk.

Accuracy is Luxury

Monday, May 21, 2007

In the land of forex, trend is king. Also here accuracy is a luxury. During early days of trading, some people can see the trade based on their signal but finding the best entry is a bit difficult. After sometime the system will give less signal but higher percentage of winning. Then comes the accuracy. Once you have learn how to get highly accurate entry point you will see what i mean by accuracy is a luxury.

Commodity Channel Index (CCI)

Thursday, May 17, 2007

Developed by Donald Lambert, the Commodity Channel Index (CCI) was designed to identify cyclical turns in commodities. The assumption behind the indicator is that commodities (or stocks or bonds) move in cycles, with highs and lows coming at periodic intervals. Lambert recommended using 1/3 of a complete cycle (low to low or high to high) as a time frame for the CCI. (Note: Determination of the cycle's length is independent of the CCI.) If the cycle runs 60 days (a low about every 60 days), then a 20-day CCI would be recommended. For the purpose of this example, a 20-day CCI is used.

For scaling purposes, Lambert set the constant at .015 to ensure that approximately 70 to 80 percent of CCI values would fall between -100 and +100. The CCI fluctuates above and below zero. The percentage of CCI values that fall between +100 and -100 will depend on the number of periods used. A shorter CCI will be more volatile with a smaller percentage of values between +100 and -100. Conversely, the more periods used to calculate the CCI, the higher the percentage of values between +100 and -100.

Lambert's trading guidelines for the CCI focused on movements above +100 and below -100 to generate buy and sell signals. Because about 70 to 80 percent of the CCI values are between +100 and -100, a buy or sell signal will be in force only 20 to 30 percent of the time. When the CCI moves above +100, a security is considered to be entering into a strong uptrend and a buy signal is given. The position should be closed when the CCI moves back below +100. When the CCI moves below -100, the security is considered to be in a strong downtrend and a sell signal is given. The position should be closed when the CCI moves back above -100.

Since Lambert's original guidelines, traders have also found the CCI valuable for identifying reversals. The CCI is a versatile indicator capable of producing a wide array of buy and sell signals.

CCI can be used to identify overbought and oversold levels. A security would be deemed oversold when the CCI dips below -100 and overbought when it exceeds +100. From oversold levels, a buy signal might be given when the CCI moves back above -100. From overbought levels, a sell signal might be given when the CCI moved back below +100.
As with most oscillators, divergences can also be applied to increase the robustness of signals. A positive divergence below -100 would increase the robustness of a signal based on a move back above -100. A negative divergence above +100 would increase the robustness of a signal based on a move back below +100.
Trend line breaks can be used to generate signals. Trend lines can be drawn connecting the peaks and troughs. From oversold levels, an advance above -100 and trend line breakout could be considered bullish. From overbought levels, a decline below +100 and a trend line break could be considered bearish.
Traders and investors use the CCI to help identify price reversals, price extremes and trend strength. As with most indicators, the CCI should be used in conjunction with other aspects of technical analysis. CCI fits into the momentum category of oscillators. In addition to momentum, volume indicators and the price chart may also influence a technical assessment.

Marketiva is playing games

Tuesday, May 15, 2007

Time and time again I have noticed that Marketiva is playing the stop loss hunting game. I have 2 exact trade on Marketiva and Northfinance and Marketiva will always hit Stop Loss. One would expect the difference of spread would be the factor here but consider this. Marketiva will always show difference in price between 2-5 pips compared to North Finance and considering the difference in spread is only 1 pip its ..... better let u people decide. Anyway my trade in Marketiva is small. Just playing it for the egold.

Yesterday position still good for now. Added another short of GJ @ 238.50. Target have changed due to low volume of the market. Below are new targets for today.

EJ target: 162.63, 162.23
UJ Target: 120.10, 119.87
AU Target: 0.8305, 0.8290
GJ Target: 237.80, 237.45

Trade at your own risk.

Free Forex Signal 14 May 2007 6:48pm

Monday, May 14, 2007

Short EJ @ 163.00 or better
SL +30
Target: 162.00, 161.50

Short UJ @ 120.38 or better
SL +30
Target: 119.62, 119.63

Short AU @ 0.8350
SL +30
Target: 0.8290, 0.8250

Trade at your own risk

FXEgypt Forex Contest

Saturday, May 12, 2007

Been busy for this few weeks and dont have time to trade. At the moment my contest account in up by 1k. Hopefully next week onwards I can concentrate on trading. Currently the highest profit maker is up almost 5x and from Malaysia. Wish I can see him trade. He is good. Up 5x in 10 days.

How To Trade The Trend

Monday, May 7, 2007

This is going to be short and simple. The best system is the simplest. Take any of your best indicators, apply them to daily chart. Look for the trend.

Take the same indicators apply them to hourly chart. Based on the daily trend look for entry.

If the daily chart is saying uptrend, use your hourly chart to find long position only. If the daily chart is saying downtrend, use your hourly chart to find short position only.

If the daily chart is saying uptrend and u have a short signal from your hourly chart, you can close your position and take another position when the hourly chart is giving the same signal as the daily chart and vice versa.

Remember forex is not about how smart you are. Its about discipline and money management.

Forex Review: JPY Pair

Friday, May 4, 2007

After an all assault of uptrend, finally Jpy pair are showing sign of slowing down. GJ have shown a short signal and is dropping for these few days. UJ is still climbing but at the moment having difficulty breaking 120.50. If it holds than we should see a big drop in all JPY pair. Anyway all depends on tonight NFP report. If its good then 120.50 will be broken. If its bad then we will see a new trend. Happy trading.

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