Hello Traders,
Finally, the most anticipated fight of the year ended up with Usman Kamaru winning Jorge Masvidal by unanimous decision.
Kamaru, a darn good wrestler, forced the fight to go his way. He was all over Masvidal, barely allowing him to throw those flying knees or punches.
My respect for Masvidal though, he played a defensive game all through the bout, which wasn’t enough to win him the fight but bought him enough time to create a few opportunities which didn’t really click.
A few lessons learned from the fight as a trader was:
It’s paramount you stick to a trading technique you are familiar with come rain come shine. That’s what Kamaru did.
The market has its cycles, and each trading technique works at different times. Our job is to find out when our style of trading has an edge in the market and go for it.
That said, let’s hit the charts and see what the market has for us this week…
1. GBP/USD
GBP/USD hit a critical resistance level (1.26636) last week, and it struggled to break through this resistance level.
On the hourly chart, we can see a reversal already and all we have to do is WAIT for two scenarios to play out.
- Wait for price to hit support level 1.25911 before confirming if a bearish breakout will most likely pull price down to support level 1.25114 or if price would reverse upon hitting support level 1.25911, to return back to resistance level 1.26636
- Wait to see if price will retest resistance level 1.26636 and breakout. Which will most likely encourage the buyers to pull price to the next possible resistance level 1.27279
2. EUR/JPY
Price on the EUR/JPY closed on Friday showing us how potent support level 120.255.
When the market opens in a few hours from now we could harness the bullish move “IF” the buyers are still strong in the market.
This means our system should be able to guide us to know if price next move will be to hit resistance level 121.351 or if price will fall back to support level 120.255.
3. AUD/JPY
Price on the AUD/JPY closed on Friday showing little signs of price willingness to break through the 74.291 resistance level.
This week all we are going to watch out for is:
A confirmation if price will break through resistance level 74.291 and hit the next possible resistance level (75.045) or
If price will fizzle out and fall off support level 74.051 and head straight to our next support level 73.120.
4. XAU/USD
Last week. Gold was good to most bullish traders after price broke resistance level 1787.32 and formed a new resistance level 1817.60.
What we are currently seeing is price falling back to support level 1787.32.
This week, our job as traders will be to find out if price still has the motivation to bounce back to resistance level 1817.60 or
If support level 1787.32 will give way, further encouraging sellers to push price down to a previous support level 1760.87
What are your thoughts?
ATTENTION: Ladies and gents, thanks for joining us on our weekly analysis.
This week we decided to roll out our telegram group upon demand by some of our ardent followers.
I have always had mixed feelings starting one myself, but upon pondering for a while now.
I decided to give in to your demands and see how I could assist traders and also learn in the process.
For those interested, hit: https://t.me/joinchat/FN30PxlwXbk2BcuTDdH5yg
Do have a pip-full week ahead
