Good day Traders,
How is everyone doing?…
Hope great?
The weekend has been relaxing for me, I tried my hands on a new game which has been popular for a few years now.
The game is no other than “FORTNITE”.
Have you played it?
For those who haven’t, its completely free on the PS4 console, all you just have to do is download it and game away.
What fascinates me about the game is the fact that it’s a multiplayer game, so you actually compete against other players, and yes its a shooter game.
Alright…, enough of the gaming talk, let’s get back to business.
How did your trading go last week?
Mine was great, probably the best trading week this year.
For those who are regular here and follow me on Twitter, I shared how I closed my last month negative.
So, I started this week with a few good trades, but the highlight of the entire week was my GBP/JPY trade which fetched me +533 pips on just one single trade.
This single trade also canceled my last month’s loss.
For those asking how possible is this?
The process:
Well, I bought the GBP/JPY on a Tuesday after a major breakout
Afterward, price stalled for a bit before continuing its bullish move to our target profit.
As the move continued, I got into another trade while adjusting my initial stop loss to breakeven, by so doing, even if the market reversed on me, I will be losing money for just the second trade.
The second trade was added on Friday, and I basically trailed my profits from a safe distance until my target profit was hit.
The process is popularly called scaling in and mind you, it doesn’t work all the time.
Sometimes the market may just reverse on some key support/resistance levels and take your stop loss out.
Moreso, the technique has a more complicated money management system.
If you are a new trader, I don’t advice you try it on your real account until you have perfected the technique.
That said…, let’s get into this week’s trading opportunities.
1. AUD/USD
Last week the AUD/USD made a huge bullish move in the market and a key resistance level (0.67834) was broken like it never really mattered.
This week, we will be seeing how price will react against the new resistance level (0.70256).
A reversal may send price back down, retesting support level 0.67834 and a breakout will encourage the buyers to push price to our next possible resistance level (0.72726)
2. AUD/JPY
The AUD/JPY and AUD/USD have similar setups.
We may see price hit 79.555 if resistance level 76.548 is broken this week, and a reversal will most likely take price back to support level 73.589.
This trade is also a 50/50 trade.
3. NZD/JPY
NZD/JPY is retesting a strong resistance level within an expanding descending channel.
This resistance level is almost 3 years old and price has continuously respected it.
This week, if the Bulls are strong enough to break resistance level 71.633, we may see price hit resistance level 73.347.
There is also a possibility of a reversal if the Bulls are weak from last week’s battle.
If so, we may see price fall to support level 69.928.
What are your thoughts and what pairs do you think you are most likely to trade this week?
Please comment below.
