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Sunday, January 31, 2016

Trading Signals for JPY Pairs (February 1 - 22, 2016)

USDJPY = Buy

AUDJPY = Buy

CADJPY = Buy

CHFJPY = Buy

EURJPY = Buy

GBPJPY = Buy

NZDJPY = Buy

NB: Every trade could be entered with a stop loss of 100 pips and a take profit of 200 pips. Only 0.5% is risked per trade. With an account balance of $20,000, a position size of 0.1 lots would be used. The breakeven stop is set after about 70-pip profit is made. A trailing stop of 100 pips is set after over 170 pips have been gained. You need to use your technical analysis to know when to enter, since you may want to trade a pair only after your entry criteria have been met.

Disclaimer: Trading signals are provided for information purposes only and shouldn’t be construed as trading advice.




What Super Traders Don’t Want You To Know: Super Traders

Daily analysis of major pairs for February 1, 2016

Last week, the USD/JPY moved sideways from Monday to Thursday, in the context of an uptrend. On Friday, January 29, 2016, the price broke upwards significantly, testing the supply level at 121.50 (a movement of 300 pips). The outlook on USD/JPY, including other JPY pairs, is bullish for this week, and for this month. It is thus expected that the USD/JPY would continue moving upwards this week.   

EUR/USD:  The bias on this market is neutral in the first place, because all the bulls’ effort to effect a protracted rally has been invariably frustrated by the bear’s obstinacy. Unless one is a scalper, it would be Ok to stay away from this market until there is a directional movement, which would most probably favor the bears. 


USD/CHF:  This currency trading instrument consolidated for the first few days of last week and then rallied further, reinforcing the existing bullish bias in the market. The price was able to go above the support levels at 1.0150 and 1.0200. The resistance level at 1.0250 has already been tested, and the market is expected to go above it, reaching the resistance level at 1.0300. There is a Bullish Confirmation Pattern in the market.  

GBP/USD:  It has always been said that rallies should be avoided on this pair and they should be taken as opportunities to sell short. That was exactly what happened last week. The bullish effort we saw from Monday to Thursday was frustrated by a 200-pip bearish correction that happened on Friday. In fact, the bearish journey is supposed to continue this week and this month, for the outlook on GBP pairs is bearish.  

USD/JPY:  Last week, the USD/JPY moved sideways from Monday to Thursday, in the context of an uptrend. On Friday, January 29, 2016, the price broke upwards significantly, testing the supply level at 121.50 (a movement of 300 pips). The outlook on USD/JPY, including other JPY pairs, is bullish for this week, and for this month. It is thus expected that the USD/JPY would continue moving upwards this week.  

EUR/JPY:  Just like the USD/JPY and other JPY pairs, this cross moved upwards seriously last week. Before the event of January 29, 2016, this cross was already engaged in a slow and steady upwards movement. Altogether the price went upward by 400 pips last week, before experiencing a shallow pullback on Friday. Further rally is possible as the market proffers long opportunities with pullbacks along the way. 

Performed by Azeez Mustapha,
Analytical expert
InstaForex Companies Group


What Super Traders Don’t Want You To Know: http://www.advfnbooks.com/books/supertraders/index.html  

Saturday, January 30, 2016

Weekly Trading Forecasts on Major Pairs (February 1 - 5, 2016)

Here’s the market outlook for the week:

EURUSD
Dominant bias: Neutral   
This pair went up from the support line at 1.0800, reaching the resistance line at 1.0950. From that resistance line, price went down 120 pips. There is a neutral bias on this pair, which would remain in force until price goes below the support line at 1.0800 or above the resistance line at 1.0950. For a few weeks, that resistance line at 1.0950 has been refusing bullish movement above it, and therefore it is more likely that price would go further downwards this week, breaking below the support line at 1.0800, owing to a bearish outlook on EUR pairs for this week and for most of February 2016.

USDCHF
Dominant bias: Bullish
Last week, USDCHF moved sideways from Monday to Thursday, in the context of an uptrend, but broke upwards on Friday, reinforcing the existing uptrend.  The resistance level at 1.0250 has already been tried, and there is a high possibility that price would go above that resistance level, targeting another resistance levels at 1.0300 and 1.0350. This would be easier especially in the wake of a weaker EURUSD.   

GBPUSD
Dominant bias: Bearish   
As it is always mentioned, long trades will usually be traps on GBPUSD until it is clearly confirmed that the bearish bias is completely over. Bulls made commendable effort to effect a rally last week – all of which proved futile with what happened on Friday, January 29, 2016 (a 200-pip pullback). The outlook on GBP, and therefore, GBP pairs is bearish for the month of February, even beyond the month. Bullish signals in this market should be ignored, because GBP would face challenges at many fronts, including the strengthening of AUD and NZD in this month.

USDJPY
Dominant bias: Bullish   
This currency trading instrument moved in a tight range from Monday to Thursday, but there was a significant bullish breakout early Friday. This bullish breakout took price upwards by 300 pips, testing the supply level at 121.50; plus the rally would continue this week. There were strong bullish breakouts also on other JPY pairs: a beginning of protracted bullish movements on those pairs. Yes, bullish movements were already expected to start on JPY pairs around the end of January, and as a result of this, traders are advised to shun bearish signals on JPY pairs in February, because the outlook on them is bullish for the month.   
                                                                                                                               
EURJPY
Dominant bias: Bullish
This cross had already started moving upwards before the massive bullish breakout happened on Friday. Altogether, price went upwards by 400 pips last week, reaching the supply zone at 132.00. Here, pullbacks should be seen as opportunities to go long, because JPY pairs have high probabilities of trending further upwards in the month of February 2016. Currencies like EUR and GBP, which would be weak against some other currencies, would be seen going up against JPY in February. EURJPY could go further upwards by at least, 200 pips this week   

This forecast is concluded with the quote below:

“One major aspect of Forex I really value is that trends are easy to find. Trading a trending chart has a big edge for two main reasons. First, trends generate good follow-through. In many instances they go much further than anyone might have expected.” – Gabriel Grammatidis



What Super Traders Don’t Want You To Know: http://www.advfnbooks.com/books/supertraders/index.html



Wednesday, January 27, 2016

Are You Disappointed in Trading?

“One of the keys to a trader’s success was not the results of a trade but rather how a trader reacted to the results of a trade.”  – Dan Gamza

Why me? Why did this happen to me? Those are some of the questions that disturb losing traders. After a series of losses, some of them develop hatred for trading. Suffering that results from negative trades, drawdowns and margin calls can make people easily disappointed in trading.

Nonetheless, no matter how bad your trading is, it could’ve been worse. No matter how bad things are, there are still some reasons to be thankful, if you can think deep.

There are events that move the markets and which professionals focus on. These events often are filled with uncertainties, bringing profits and losses to people. Just some months ago, Greece was a hot topic, and speculators were mulling opening positions on the seemingly overextended markets, but some had serious misgivings. At times, the stakes may be higher than the rewards.

There Is Really Nothing Like Losses
There is really nothing like losses, for what brings losses to some people is what brings profits to others. The market moves up or down – not losing up or down. When you buy EURUSD and it goes up, you win (but a seller will lose). When you sell AUDJPY and it goes up, you lose (but a buyer will win). When you enter a direction in the market and it moves seriously in your favor, all those who go in that direction will make money, provided there are no wide differences in their entry prices.

What you call losses is what brings profits to some people. What you call profits is what brings losses to some people.

People Don’t Learn Their Lessons
Despite well-meaning efforts to solve the problem of loss, there are millions of traders around the world who’re still losing because of dangerous trading habits. People don’t learn their lessons.

During a funeral process, many attendees will be remorseful, thinking about the brevity of life and futility of wickedness, anxiety, love of money and so on. But once the funeral is done, you’ll see many of those attendees living their lives as if they’d not die again.

Too many traders lost in the past because they didn’t use stop loss on live and simulated accounts. When they come back to trading, you’ll see them using the same trading approaches that led to their downfall the last time, namely, high lot sizes and no stop loss. People don’t learn their lessons.

Traders who test new trading ideas on demos don’t use stops; and I wonder how that idea can survive on live accounts in the long haul, because they may apply it to a demo account once they’ve been lucky enough to gather some gains. 

A Way Out?
After many years of grappling with the markets, traders who complained in the past may later show their gratitude; and for the fact that the markets cannot be blamed for what happen to them (though we may feel disappointed sometimes). There are days when they become sad, and they complain when they think of their seeming helplessness. Nonetheless, they’d have come to understand that the markets don’t set out to punish individuals.

Interacting with good traders as well as reading about super successful ones would’ve made them stronger psychologically and kept their spirits up.

Reflecting on a possibility of a risk-free trading approach reassures those who’re currently losing. Good trading coaches care about them, knowing full well that the end of their struggles is in sight. Focusing on such hope can give a trader the fortitude to endure certain negativity now.

Conclusion: Are you disappointed in trading? Well those who currently make loads of money from trading were once disappointed at some time in their careers. Those whose marriage is now successful were at one time, frustrated by their spouse. But these people, for example, profitable traders (as well as happily married persons), looked for solutions to their problems and apply those solutions faithfully. That doesn’t mean they’re luckier or better than others: that means they’re able to overcome the causes of frustrations and disappointment in their careers.

This article is ended with the quote below: 

“Markets are people. So beating them asks for insight in what they are doing. And, perhaps more importantly, how they feel, because that will direct their future actions and, in the end, what markets will do.” – Dirk Vandycke




What Super Traders Don’t Want You To Know: Super Traders

Tuesday, January 26, 2016

Annual Trading Forecast on Yahoo! (2016)

Yahoo! shares (NASDAQ:YHOO) are under selling pressure. There is a “sell” signal in the market and it would be senseless to go long right now, unless otherwise proven by the price action.

The ADX period 14 is at the level 30, showing the presence of momentum, while the DM- is above the DM+, meaning that the bears dominate at the present. The MACD (default parameters) has its signal lines and histogram below the zero line. This underlines a Bearish Confirmation Pattern in the market.

Yahoo! price is likely to go further downwards, reaching the demand levels at 20.00, 18.00 and 15.00 this year.

This forecast is ended by the quote below:

“That stock you thought was a sure thing just tanked. The lesson: Sometimes the unpredictable happens. It happens to the best analysts, the best fund managers, the best advisors, and, it can happen to you.” - Stephanie Powers 

Azeez Mustapha

Market Analyst, Trading Signals Provider and Coach

What Super Traders Don’t Want You To Know: Super Traders


Annual Trading Forecast on Ebay (2016)

Ebay stock (NASDAQ:EBAY) is currently consolidating seriously. The consolidation has been ongoing for several months, forming a strong base, which is an interesting thing for professional speculators.

The long-term base means a breakout is imminent, which would most probably favor the bulls. The Williams’ % Range period 20 is a kind of heading upwards while the price is not too far from the EMA 21. In fact, the price is now attempting to cross the EMA 21 to the upside.

When a bullish movement begins on Ebay, the supply levels at 40.00, 45.00 and 50.00 would be attained within the next several months.

This forecast is ended by the quote below:

“Downward stock market swings are inevitable. The better-prepared you are to deal with them, the better your portfolio will endure them. You may have already learned some of these lessons the hard way, but if not, take the time to learn from others' mistakes before they become yours.” - Stephanie Powers 

Azeez Mustapha

Market Analyst, Trading Signals Provider and Coach

What Super Traders Don’t Want You To Know: Super Traders




Monday, January 25, 2016

Democrats Retain Presidency, Retake Congress in 2016 Landslide.

In 2016, the Republican primaries descend into chaos after the party’s voters narrowly manage to nominate another weak, centrist candidate after the long self-destructive process of the nomination process. Donald Trump goes down in flames, taking the Republican Party with him and leaving its voters demoralized with their weak options in the presidential and congressional elections.



In Congress, the Republican Party goes from strength to dramatic weakness as the rifts from its civil war on its future direction play out over the next four years. This leads to a landslide victory for the Democratic Party as the Democrats successfully execute a successful get-out the- vote campaign.


That campaign gains traction among the US’ now largest generation: the younger, more
diverse, more liberal, overeducated and underemployed Millennials, who come out to vote in droves in favor of the Democratic ticket as they have been frustrated by the political stalemate and weak job prospects of the last eight years.

In the wake of the election, the fear of a left-leaning new Democratic government free of
Republican obstructionism sees risky assets and the USD taking a dive initially. But as 2016 draws to a close, sentiment changes dramatically and asset markets and the greenback rally steeply again on the realization that a rare political majority in the US can ram through fresh fiscal stimulus that boosts US growth:




What Super Traders Don’t Want You To Know: Super Traders

  

Sunday, January 24, 2016

Daily analysis of major pairs for January 25, 2016

 The USD/JPY tested the demand level at 116.00, and then bounced upwards by 280 pips. This is a threat to the extant bearish outlook on the market, which would eventually be rendered invalid in case the price continues going further upwards this week. The outlook on USD is bright and therefore, the USD/JPY might continue moving upwards.       

EUR/USD: The EUR/USD was able to move downwards last week, closing just below the resistance line at 1.0800 on Friday. There is now a Bearish Confirmation Pattern on this pair, which means the price could begin to trend further downwards. There is a potential bearish target at the support line of 1.0750, while the resistance line at 1.0950 is a formidable barrier to the bulls.


USD/CHF:  There was an upwards movement of 150 pips on the USD/CHF last week – something that has caused a clean bullish signal in the market. Since the important market level at 1.0100 is being breached upwards successfully, it might be logical to assume that the price would continue moving north. The potential targets for the bulls this week are the resistance levels at 1.0200 and 1.0250.

GBP/USD:  From Monday to Wednesday, GBP/USD moved downwards by 170 pips, testing the accumulation territory at 1.4100 last week. From that territory, the price started making some bullish effort, which might not render the current bearish bias invalid unless the price moves above the distribution territory at 1.4500. This would require serious attempts from the bulls because a strong USD would make it difficult for this pair to rally this week.

USD/JPY:  The USD/JPY tested the demand level at 116.00, and then bounced upwards by 280 pips. This is a threat to the extant bearish outlook on the market, which would eventually be rendered invalid in case the price continues going further upwards this week. The outlook on USD is bright and therefore, the USD/JPY might continue moving upwards.      

EUR/JPY:  The outlook on this market remains bearish and unchanged, though there are mixed signals in the market. It is better to stay away from this market until there is a directional signal. There may be a breakout this week, which would be influenced by the events affecting the Euro. There would be a break above the supply level at 129.00 or below the demand level at 126.50 this week.

Performed by Azeez Mustapha,
Analytical expert
InstaForex Companies Group


What Super Traders Don’t Want You To Know: http://www.advfnbooks.com/books/supertraders/index.html  

Saturday, January 23, 2016

Weekly Trading Forecasts on Major Pairs (January 25 - 29, 2016)

Here’s the market outlook for the week:

EURUSD
Dominant bias: Bearish   
As it was prognosticated, EURUSD did not experience a significant movement last week, though price moved lower. The lower movement has resulted in a bearish signal, since there is now a Bearish Confirmation Pattern in the market.  There are bearish targets at the support lines of 1.0750 and 1.0700, which would be reached as price continues meandering its way further south. EURUSD, and of course other EUR pairs, could become weaker. Generally, very strong movements should be seen on most (major) pairs and crosses this week and next week.

USDCHF
Dominant bias: Bullish
This currency trading instrument moved higher last week (by around 140 pips), resulting in a bullish outlook on it. The previously adamant resistance level at 1.0100, which is now a support level, was broken to the upside. Price is currently above the support level at 1.0150, threatening to go further north. The outlook on USD is now bullish, which should reflect on other USD pairs, save USDCAD. This is also true of CAD pairs, for other currencies are weak against CAD, which should continue for some time.    

GBPUSD
Dominant bias: Bearish   
Cable reached a low of 1.4078 and a high of 1.4362 last week, making a bullish effort in the context of a downtrend. The bias remains bearish, unless price goes above the distribution territory 1.4500, which is a daunting task for bulls because they would be faced with a strengthening USD. Therefore, Cable might experience some pullbacks this week.

USDJPY
Dominant bias: Bearish    
This pair tested the demand level at 116.00 and bounced upwards by roughly 280 pips, closing at 118.77 on Friday. This rally was strong enough to become a threat to the recent bearish bias – which would be rendered useless once the supply level at 119.50 is overcome. The possibility of further rally is high, owing to the expected strength in USD. There would be strong volatility on JPY pair from this week till the end of the month.
                                                                                                                               
EURJPY
Dominant bias: Bearish
EURJPY consolidated throughout last week. Even bearish breakouts were quickly countered by bullish corrections. Bulls and bears are presently engaged in a deadlock struggle that will come to an end soon, for this cross will start a directional movement this week, though a rally might be difficult as long as EUR is weak. High volatility would be witnessed.   

This forecast is concluded with the quote below:

“Learning the business of trading is basically no different from learning any other business. Winning means learning major guidelines and concepts that you repeat so often in your own behavior that they become good habits. These good habits then become automatic behavior patterns…” - Andy Jordan


 What Super Traders Don’t Want You To Know: http://www.advfnbooks.com/books/supertraders/index.html




Friday, January 22, 2016

Peter Thiel: A Foremost Investor

 WHAT YOU NEED TO KNOW ABOUT MASTER TRADERS – PART 1

“One of the secrets few know and fewer implement when it comes to trading success is that you have to really care about doing well. These days, I see a lot of traders not caring enough, not prioritizing learning about trading, and making pathetic weak-willed excuses.” – Chris Tate

Name: Peter Thiel
Date of birth: October 11, 1967
Nationality: German, American
Occupation: Businessman and investor

A RARE GENIUS
Peter was born in Germany, but his parents took him along to the United States, where they settled. He studied philosophy at Stanford University, earning a B.A. (1989). He also got his J.D. from Stanford Law School (1992). He was very good at playing chess, even to the point of being rated a Chess Master.

With Elon Musk and Max Levchin, he co-founded Paypal. He co-founded Palantir, serving as its chairman. He was the first outside investor in Facebook, acquiring a stake which was worth 10.2% in 2004 for $500,000. Therefore he’s a member of the board of directors.

He presides over a hedge fund named Clarium Capital. The fund was worth $700 million. He’s also a managing partner in Founders Fund, a firm which was worth $2 billion. He also co-founded, chairs Mithril Capital Management and Valar Ventures.

In the year 2011, his position on Forbes 400 was 293rd, being worth $1.5 billion. As of August 2015, he was worth $3.3 billion.

Peter is interested in other intriguing issues, causes and futuristic ideas, participating in some of them, funding some of them and advocating some of them. He’s won awards, honors, and an honorary degree from Universidad Francisco Marroquin.

What You Need to Know:
  1. Peter really has a Midas touch. Are you successful in other areas of life? You might want to try trading and/or investing. Perhaps you success in other fields might be translated to success in trading as well. As you can see, Peter Thiel has been successful in most of the ventures he took, including investing. He correctly forecasted the weakness of USD in the year 2003, plus forecasting that the strength in USD and energy would be strong in the year 2005.

  1. You can’t be right always. Peter wasn’t always right. His hedge fund, Clarium, dropped in value within years 2008 – 2011. This was largely due to incorrect bets. However, you should be successful overall, just as Peter is.

  1. In trading, courage is more important than genius. Brilliant traders are rare. No wonder there are so many losers.

  1. Peter says monopoly is the condition of every successful business. This can be applied to trading. You just got to develop your own unique trading approach and stick with it. That unique trading approach is your edge, which will give you breakthrough that many millions of traders can only dream of.

  1. Nobody cares about you unless you become a successful trader with years of a nice track record. Consistent profitability is an elusive thing, and once you can achieve that, more and more people would be interested in you, because you’ll appear unique. Without this, you’ll just be like many other millions of people who’re failures. 

  1. Don’t be afraid to fly in the face of a conventional trading wisdom. You trading approach is good as long as it makes money, no matter how odd it seems.

  1. Always make sure that in a quarter or on annual basis, you make average profits that are bigger than average losses. Your few winners ought to compensate for your numerous losers.

Conclusion: When problems and challenges arise in your trading career, do you feel overwhelmed? I no longer feel helpless and without hope. Today, I can truly say I’m happy as a trader, although previously I never imagined it possible, I now feel that I can help others.

This piece ends with a quote from Peter:

 “The most contrarian thing of all is not to oppose the crowd but to think for yourself.” 




What Super Traders Don’t Want You To Know: Super Traders

Tuesday, January 19, 2016

Annual Trading Forecast on IBM (2016)

IBM shares (NYSE:IBM) are very weak. The weakness has been going on for several months, and it would continue until there is a bullish movement which lasts for at least, a few months.

The price is currently below the EMA 21 and the Williams’ % Range period 20 is around the oversold region. This is a “sell’ signal. The price might reach the demand levels at 120.00, 110.00 and 100.00 within the next several months, and therefore, bullish attempts in this market ought to be ignored.

IBM price should continue moving southward gradually and steadily. Until the condition mentioned in the first paragraph above is met, long positions should be disregarded.  

Azeez Mustapha

Market Analyst, Trading Signals Provider and Coach

What Super Traders Don’t Want You To Know: Super Traders


Annual Trading Forecast on FTSE 100 (2016)

  FTSE 100 stock (FTSE:UKX) is in a strong downtrend and the propensity might continue. Based on the recent price action, upswings in the market are followed by stronger downswings, meaning that the upswings might be used as opportunities to sell short. There are times in which the market moves in ranges when trading activity is high, which reveals that there are many bears that are happy to frustrate determined bullish attempts.

In the chart, 4 EMAs are used for this analysis, and they are EMAs 10, 20, 50, and 200. The color that stands for each EMA is shown at the top left part of the chart. Right now, all the EMAs are sloping downwards (a bear market), while the price is below the EMA 10. Any forays into the EMA 20 or 50 would bring good opportunities to sell short further, especially when a bearish candle forms following that.

FTSE 100 is expected to continue its downward journey.

Azeez Mustapha

Market Analyst, Trading Signals Provider and Coach

What Super Traders Don’t Want You To Know: Super Traders



Sunday, January 17, 2016

Top facts about President John F. Kennedy you never knew

President John F. Kennedy's life and death captivated and continue to captivate the American public. Although he has been studied widely, here are a couple lesser known and odd facts about this famous president that you might not have known.

1.       Kennedy gave all of his presidential salary, $100,000 a year, to charity.

2. He was the first president to dance with African American women at an inaugural ball.

3. Kennedy survived four assassination attempts during his life. A retired postal worker attempted to kill him barely a month after his election by following him from Hyannis Port to Georgetown to Palm Beach in a car loaded with dynamite. Other plots in Chicago, Illinois and Tampa, Florida were discovered in the weeks before November 22, 1963.

4. He received the Last Rites four times in his life. He first received them in 1947 after becoming gravely ill in England and next received them in 1951 when he got a high fever in Japan. Kennedy got them again in 1954 after back surgery and lastly on November 22, 1963.

5. Kennedy was obsessed with his weight and traveled with a bathroom scale.

6. He was an avid fan of James Bond and he wrote his own spy novel about a coup d’etat organized by Vice President Lyndon Johnson.

7. He bought up to 1,200 high-grade Cuban cigars the day before he ordered a ban on Cuban imports.

8. During WWII his ship PT-109 was sunk and he scratched a rescue message on a coconut husk as part of his efforts to get his crew rescued. He later used the coconut husk as a paperweight in the Oval Office.

9. First Lady Jackie Kennedy was fluent in French and Kennedy attempted to learn French and even asked his daughter Caroline’s teacher for help.


10. Kennedy was the only president whose grandmother lived longer than he did.

Source: http://www.irishcentral.com/roots/top-facts-about-president-john-f-kennedy-you-never-knew-232985981-237788811.html

What Super Traders Don’t Want You To Know: Super Traders

Daily analysis of major pairs for January 18, 2016

The GBP/USD is one of the strongest trending currency trading instruments among the majors. The bias on the instrument is bearish and it is possible that the price would continue going downwards, reaching the accumulation territories at 1.4200 and 1.4150 this week. This bias would be valid until there is a bullish reversal of at least, 300 pips.

EUR/USD: The condition affecting the EUR/USD is quite similar to the condition affecting the USD/CHF. So the two pairs must be watched closely. Just like the latter, the bias on the former is also neutral in the near term.


USD/CHF:  The bias on this pair is neutral in the near-term because the pair has not made any strong directional movement in recent times. There are short-term upswings and downswings in the market, but a predictable directional movement is anticipated this week or next week, which would most probably favor the bears.

GBP/USD:  The GBP/USD is one of the strongest trending currency trading instruments among the majors. The bias on the instrument is bearish and it is possible that the price would continue going downwards, reaching the accumulation territories at 1.4200 and 1.4150 this week. This bias would be valid until there is a bullish reversal of at least, 300 pips.

USD/JPY:  USD/JPY moved sideways in the most part of last week, though the price went further downwards on Friday, emphasizing the extant bearish outlook on the market (just as the case is on most other JPY pairs). It is likely that the price would continue trending further downwards this week, reaching the demand levels at 116.00 and 115.50.

EUR/JPY:  In contrast to what happened two weeks ago, this cross simply moved sideways last week. There would soon be a breakout this week or next week, which would be determined by the conditions affecting the EUR. So it is rational to say that movement on the EUR/JPY cross would be determined by whatever happens to the EUR, and as a result, we may see a movement which is contrary to what other JPY pairs are doing.

Performed by Azeez Mustapha,
Analytical expert
InstaForex Companies Group


What Super Traders Don’t Want You To Know: http://www.advfnbooks.com/books/supertraders/index.html  

Saturday, January 16, 2016

Weekly Trading Forecasts on Major Pairs (January 18 - 22, 2016)

Here’s the market outlook for the week:

EURUSD
Dominant bias: Neutral   
This pair experienced short-term upswings and downswings, with no directional movements in the medium term. Just like last week, there may not be very strong movements this week, though there could be significant movements around the end of this month (which could happen on other major pairs as well). There are support lines at 1.0850 and 1.0800. There are also resistance lines at 1.1000 and 1.1050. Price must go above these resistance lines or support lines, paving way for a strong movement expected around the end of this month. It is likely that EUR would rally, which would be visible on all EUR pairs. 

USDCHF
Dominant bias: Neutral
Whatever happens on USDCHF would be determined by what happens to EUR. The bias is now neutral, owing to the recent erratic movements in the market. There are support levels at 0.9950 and 0.9900. There are also resistance levels at 1.0050 and 1.0100; and so it is expected that price would go above these resistance levels or the support levels. A movement to the downside is more likely because the resistance level at 1.0100 is now a major barrier to bulls. That resistance level has successfully thwarted rally attempts within the last two weeks.

GBPUSD
Dominant bias: Bearish   
This currency trading instrument came down by, at least, 250 pips last week, almost testing the accumulation territory at 1.4250. Price has come down by 950 pips since the middle of December 2015. There is a very strong bearish bias on the market – it does not make sense to go long until there is a bullish retracement of about 300 pips. That is the only condition that can threaten the existing bearish bias; otherwise rallies would offer new short-selling opportunities.  

USDJPY
Dominant bias: Bearish    
USDJPY consolidated last week, though it showed determination to continue going downwards. Price has come down by close to 600 pips since December 18, 2015, testing the demand level at 116.50 on January 15, 2016. There is a Bearish Confirmation Pattern in the market and it is possible that the market would continue its southward journey, just as certain JPY pairs have done.       
                                                                                                                               
EURJPY
Dominant bias: Bearish
This cross, which fell sharply in the first week of this year, simply moved sideways last week. The outlook on the cross is bearish. However, the bearish outlook might be overturned by events affecting the Euro. In case the Euro gains lots of stamina, a rally attempt might be witnessed on this cross, contrary to what other JPY pairs might be doing.   

This forecast is concluded with the quote below:

“An ideal trading methodology should allow for limited risks and unlimited gains.” – Anonymous  


What Super Traders Don’t Want You To Know: http://www.advfnbooks.com/books/supertraders/index.html





Thursday, January 14, 2016

Reactions from Traders (2015)

New Year is here! Year 2015 was the most difficult year I’ve experienced in my trading career. For example, years 2007 to 2014 were easy for those who cut their losses, ran their profits and employed sensible position sizing methods.

In the year 2015, the months of January, February, March, April and December were good, while the rest of the months were extremely difficult. Most market wizards posted losses for the year, though their investors know that it’s normal to have a losing year, for a winning year is in the offing. Certain market wizards announced profits – big or small. Many unknown private traders also made decent profits last year, and I personally witnessed some accounts histories. Needless to say, majority of traders didn’t’ make profits last year.

It’s difficult to keep one’s chin up when the going is tough, but that was what I did last year. The going was tough for several months, but I nearly met my annual target. I’m thankful for what the market gave me, though it was a bit below my annual target. I’m convinced that this year would be better than last year. So, be prepared to take advantage of great movements in the markets.


Reactions from Traders (2015)
As you know, I’ve been writing helpful trading articles to help traders in the areas of strategies development, trading insights and mindset, risk control, money management, traders’ bios, market analyses, etc. Some people found my articles very useful for their trading. Nevertheless, certain people were busy leaving negative comments, discouraging others and using put-downs while they’d little to do in helping traders who desperately needed help. I’d like to remind you that there’ll be people who’ll criticize you no matter what you do. 

What someone finds useless can be indispensable to other people.

Below are some of the comments from those who read my articles last year. The comments were taken from those who sent me personal messages, not from those who simply replied to my posts.  


Reactions from Traders (2015)

“Wow! Amazing articles. Thank you so much.” – V. R.

“Dear Analyst, I was very interested to read your excellent article on this forum… Thank you very much for sharing your very interesting article. Yours sincerely.” - I. M.


“Thank you so much for … the article.” – T. T.

“I read your post, really good job and I agree.” – H. Rob

“Hi Analyst. I enjoyed your article of June 2015.” – K. J.


“Over all I am sorry to say I was disappointed with some contents of the articles, as I was expecting to learn some useful concrete facts on trading strategies/methods. I found the content of the 'Lessons', is too generalized and found little to apply to my own day to day trading.
The theme of not giving up when things have not gone well provided so degree of solace but this alone is not a technique to improve one’s trading strategy and I would have liked to have had more information on how these super traders have achieved their success, i.e. what markets, instruments, stop loss use, market entry/exit  points. Perhaps you could recommend further reading to such needs. Yours sincerely.” - P. B.


“Hi Analyst, I appreciate your prompt reply and thanks for the links you've included. Yes please give us articles on trading strategies. Such publications would be probably sought after by newbies trying to make headway as traders. Good luck” – L. C.


“Hi my name is Danny. I read your articles in some magazines recently and was very excited about your articles.  I'm interested in learning more about your systems. I'm just in importance of a position size and I'm looking to do a swing trade using the daily charts.  Are there any tips or advice you can give me? I too am a student of van Tharp institute! Thank you.”  – D. C.


“Hi Analyst. This was very informative! I had been contemplating about opening up my own trading accounts because I am interested in speculation but I realized things are not the same ( I was trading in a friends' account and she had been losing a lot) . So she wanted me to trade for her and my winning has been 70% but I feel like I am gambling, luck eventually runs out. There is no finesse to it and even though you try your technical analysis no one can predict a price movement in the next 30 seconds. Thanks for the read! Warm regards.” – Z. A.


“Hi Mr. Analyst. I am a newbie in Forex and follow your analysis quite regularly and find it very educative. May I kindly request you to send me some analyses for the major currency pairs which shall enable me to perform better in my trades? I will be ever obliged if I can be in your group.” – H. D.

Conclusion
You can’t get an answer unless you ask a question. I really appreciate those who sent me messages, both positive and negative.  Traders who are commended for their creativity and perseverance rather than simply for their talents come to realize a vital truth – that acquiring trading skills require patience and effort. They know they put in the work needed to achieve desired result… Even when they come up short, they don’t view themselves as failures, but as learners. You can’t win all the battles in the markets, but it’s great to know you’ve fought in good faith.

I assure you that I’m going to post superb trading articles this year, which would really help you achieve your aim to become a persistently winning trader. Just watch out for them.

May you have a fulfilled and prosperous trading year.

I’d like to conclude this article with the quote below:

“I don’t have any daily/weekly/monthly goals anymore.  All I look at is what I achieved over a year. Why? Simply because I realized it’s almost impossible to reach a monthly goal on a persistent basis. The markets might give you a hard time for months, and then you make it all within a month or two.  It’s better to not care for short-term results, which is difficult but possible, if you keep the long-term in perspective.” – Marco Mayer




What Super Traders Don’t Want You To Know: Super Traders

Annual Trading Forecast on Royal Bank of Scotland (2016)

Royal Bank of Scotland shares (LSE:RBS) are already weak, and this is what is supposed to continue this year. It is amazing to see that some people would still be long this market. Men especially, tend to take foolish risks. They tend to think about how much they can make without mulling how much they can lose.

The price has been coming down for several months, trending lower and lower, and trapping illogical buyers. The price is below the EMA 21, while the Williams’ % Range period 20 is in the oversold territory. The price would continue going further south this year. It is recommended that any upward bounces here should be ignored, or at least, viewed with suspicion.

Any speculation methodology based on sound principles ought to bring better profits than losses per annum, as occasional losses would eventually be overcome. This is a market that brings profits to bears.

This forecast is ended by the quote below:

“Many veteran traders would agree that one can enter a position at any price and still make money – it's how one gets out of the trade that matters.” - Jean Folger

Azeez Mustapha

Market Analyst, Trading Signals Provider and Coach

What Super Traders Don’t Want You To Know: Super Traders


Annual Trading Forecast on Google (2016)

Google, now called Alphabet Inc. (NASDAQ:GOOG), has a bearish signal on it. The signal is early enough for astute traders to catch a smooth, long-term journey, to the downside. There is a potential that the market would go further downwards from here.

The ADX period 14 is almost going above the level 20, which means that while the momentum is not currently great, it is bound to increase. The DM- is clearly above the DM+, showing that the bear has an upper hand. The MACD (default parameters), has its signal lines and histogram below its zero line. There is a Bearish Confirmation Pattern in the market, which means that the price could experience a large pullback along the way.

Google stock would trend lower and lower this year, bringing profits to seller and losses to buyers, plus buy-and-hold investors. Although it would be nice to believe otherwise, drawdowns and occasional losses are part of trading.  We need to be objective. Small losses should not turn our life upside down. Small losses might make us look dejected, helpless and peevish. Truly, it does not mean all that have to do with us are doomed since the effects are fleeting.

This forecast is ended by the quote below:

“Any successful, experienced trader will tell you that although properly identifying buy/sell signals is important, it’s not the key to being successful. Instead, the way you manage each trade is what will determine your success.” – Andy Jordan

Azeez Mustapha

Market Analyst, Trading Signals Provider and Coach

What Super Traders Don’t Want You To Know: Super Traders



Sunday, January 10, 2016

Daily analysis of major pairs for January 11, 2016

  The USD/JPY moved southward last week; by roughly 200 pips. The price made several attempts to break the demand level at 117.50 to the downside, but with no success. The price still shows the determination to go further south, which may eventually enable it to go below the demand level at 117.50.

EUR/USD: This market went down from Monday to Wednesday; and went upwards from Thursday till the close of the market on Friday. This week would see what shall happen to the market, but the bearish bias would not be over unless the price goes above the resistance line at 1.1000, which is a formidable line.  


USD/CHF:  This pair experienced mixed signals last week. From Monday till Wednesday, the price went upwards, reaching the resistance level at 1.0100. However the price started coming down from Thursday, which is now a threat to the recent bullish effort. The Bullish Confirmation Pattern would hold as long as the price does not go below the support level at 0.9850.

GBP/USD: The Cable went down by additional 220 pips last week. Since December 14, 2015, the price has come down by 700 pips, which is something that favors trend following a great deal. Any rallies in the market should be seen as opportunities to sell short, because it is much more likely that the bearish trend would continue.

USD/JPY:  The USD/JPY moved southward last week; by roughly 200 pips. The price made several attempts to break the demand level at 117.50 to the downside, but with no success. The price still shows the determination to go further south, which may eventually enable it to go below the demand level at 117.50.   

EUR/JPY:  This cross nosedived by 350 pips last week, testing the demand zone at 127.00. From that demand zone, the price bounced upwards by 200 pips, reaching the supply level at 129.00. On Friday, the price came down a bit, in the context of a downtrend. The bearish bias is valid and the upward bounce of 200 pips we saw might be another opportunity to sell short at a better price. 

Performed by Azeez Mustapha,
Analytical expert
InstaForex Companies Group


What Super Traders Don’t Want You To Know: http://www.advfnbooks.com/books/supertraders/index.html  

ABRAHAM LINCOLN'S LETTER TO HIS SON'S TEACHER...

He will have to learn, i know, that all men are not true. But teach him also that for every Scoundrel there is a hero, that for every selfish politian, there is a dedicated leader. 

Teach him that for every enemy there is a friend. 

Teach him that a dollar earn is of more value than five found.
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Teach him to learn lose and to enjoy winning. Steer him away from envy if you can.
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Teach him the secret of quiet laughter.
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Teach him the wonder of books. But also give him quiet time to ponder the eternal mystery of birds in the sky, bees in the sun, and flowers on a green hillside.
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In school,teach him to know that it is more honorable to fail than to cheat.
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Teach him to have faith in his own ideas, even if everyone tells him they are wrong. Teach him to be gentle with gentle people and tough with tough people.
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Try to give him the strength on the bandwagon. 
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Teach him to listen to all men but teach him also to filter all he hears on a screen of truth and take only the good that comes through.
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Teach him how to laugh even when he is sad.
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Teach him there is no shame in tears.
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Teach him to close his ears to a howling mob and to stand and fight if he thinks he is right.
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Treat him gently but do not cuddle him because only the test of fire makes fine steel.
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Let him have the courage to be impatient and let him have the patience to be brave.
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Teach him always to have sublime faith in his creator and faith in himself too, because then he will always have faith in man kind...

Source: https://www.facebook.com/notes/holy-bible/abraham-lincolns-letter-to-his-sons-teacher/10151419860908127/  


What Super Traders Don’t Want You To Know: Super Traders
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