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Tuesday, January 7, 2014

Annual Trading Forecast on Google (2014)


Google stock (NASDAQ:GOOG) has been bullish for a few months. It is common for the price to enter a consolidation territory, remain there a little, and later break out higher in favor of buyers. This is what is happening right at the present.



The price, which broke out above the upper Trendline, has entered another consolidation territory. The market is moving sideways and it would soon break out further higher. The RSI period 14 has often stayed in the overbought area, showing the stamina of the stock. That indicator is currently above the level 60, heading towards the level 70. The price may reach the resistance line of 1300.00 this year. The dominant bias is bullish.

Conclusion: I’ve spent many years in trading profession, I’ve seen a lot of people who claim to have a lot of knowledge of the markets but who can’t trade successfully. I once thought that this stock was likely good; there seemed to be a lot of people who were interested in it, but I didn’t feel I was one of them. But now I am bullish on this stock.
Those who went long on Google since October last year would have harvested serious gains. The market would still continue going upwards.

This forecast is ended with the quote below:

“Unless you are a scalper, trading quickly and automatically isn't a very good strategy. It's much better to develop a realistic trading plan, and execute it consciously and deliberately.” – Joe Ross

Azeez Mustapha

Market Analyst, Trading Signals Provider and Coach

Eye-opening trading lessons: Lessons from Expert Traders


Annual Trading Forecast on Royal Bank of Scotland (2014)


Royal Bank of Scotland shares (LSE:RBS) has assumed a new lease of an uptrend, which would enable bulls to collect many socks along the way up, while bears lose their socks.



The market was recently in a downtrend, but further downward movement was rejected in the month of December 2013, as the price broke upwards. In the chart, 4 EMAs are used. They are EMAs 10, 20, 50 and 200 (the color that stands for each EMA is shown at the top left side of the chart). A Golden Cross occurred last month, and the EMA 10 has crossed the EMA 20 to the upside. Both would cross the EMA 50 with the next few days. The price itself would reach the supply zone at 400.00 this year, and possibly go above it.

Conclusion: The fact is, no matter how courageous we are, times come when we feel afraid inside. Unless one is afraid, it is beneficial to take advantage of the current bullish signal on RBS (which is the beginning of a long-term northward bias). It would also be beneficial to resist risking too much. At one time, it was very difficult for me not to use big position sizes, but now I’m not afraid to control my risk. Nothing beats going to sleep while knowing your risk is always under control. 

This forecast is ended with the quote below:

“The more you can take a close, hard look at what you are doing right and what you are doing wrong, the more you can adjust your trading methods and capitalize on new market conditions. But taking an honest look is often difficult.” – Joe Ross


Azeez Mustapha

Market Analyst, Trading Signals Provider and Coach

Eye-opening trading lessons: Lessons from Expert Traders



Sunday, January 5, 2014

Daily analysis of major pairs for January 6, 2014


The EUR/USD was able to reach the forecasted target at 1.3600 on Friday. The outlook for this week is bearish. The price is now trading below the resistance line at 1.3600, going towards the support line at 1.3550.

EUR/USD:  The EUR/USD was able to reach the forecasted target at 1.3600 on Friday. The outlook for this week is bearish. The price is now trading below the resistance line at 1.3600, going towards the support line at 1.3550. It should be noted that the aforementioned resistance line would act as a near-term barrier any bullish threats.


USD/CHF:  The USD/CHF was able to reach the forecasted target at 0.9000 on Friday. The outlook for this week is bullish. The price is now trading above the support level at 0.9000, going towards the resistance level at 0.9100. It should be noted that the aforementioned support level would act as a near-term barrier any bearish threats.

GBP/USD:  It should not be forgotten that it was advised that one should wait for the EMAs to support the new bearish stance on this market. The RSI period 14 has crossed the level 50 to the downside, but it is much safer for the price to go below the accumulation territory of 1.6400 before on switches to a southward position, otherwise this may be a bogus signal.

USD/JPY: What is happening on this currency trading instrument is a little bit surprising. The reality is that both the market and the indicators have gone bullish. Eventually, the price would close above the EMA 56, as the price heads towards the supply level at 105.00, breaks it to the upside and goes towards another supply level at 105.50.

EUR/JPY:  The cross has gone bearish (the EMA 11 has crossed the EMA 56 to the downside, and the RSI period 14 has crossed the level 50 to the downside). The price has tested the demand zone at 142.00 a few times and would soon cross it to the downside.

Performed by Azeez Mustapha,
Analytical expert
InstaForex Companies Group

Eye-opening trading lessons: http://www.harriman-house.com/experttraders


Friday, January 3, 2014

Reactions from Readers



“Everyone wants results without the struggle. We want success faster, more easily, and without the risk of failure. As a trader though, we know that we have to accept that this is an immature way of living.” – Louise Bedford

There have been reactions from readers of my past articles – whether here or somewhere else. This piece features those that sent me personal email. It shows that some have either appreciated or benefitted from the articles, especially the ones that reveal principles of success in the markets.

1.      “Thank you, Mustapha. It was very kind of you to write so wonderfully... And, I’m most happy… Trading is indeed a calling, but I also feel mightily called to help others, and to share what I know. Teaching is a calling as well. All the best…” – J. R. 

2.      “Hi Azeez, Thank you for writing a great article…. I appreciate the time you took to research everything. I can tell from reading it, and the way you wrote it that you really understand trading. Thank you!!! Regards.”  – A. K.


3.      “Azeez. Wow! I'm so impressed with your article! It's just wonderful. Thanks so much for that. You are a wonderful writer, and frankly, I'm very touched by your words…
            Best wishes and I do hope the markets treat you well. Cheers.” -  L. B.

4.      “Dear Azeez: Thank you so much for the article. Very nice write up...and I love the photo too… Regards…” - D. W.

5.      “Dear Mr. Azeez, I would like to congratulate you for sharing with us very valuable insights into the markets... Once again thanks for sharing the knowledge. Regards… Another knowledge sharer.” – T. D.

6.      “Your article in… August - worth reading, again and again.” – Anonymous

7.      “Dear Mr Mustapha, your article 'Keep your portfolio safe' has many gems of wisdom, worth reading again and again. Best Regards.”  - S. S.

8.      “Thank you for the mention in your excellent article…” – C. E. K.

9.      “Hi Azeez, I enjoyed your… article... Well done. I have implemented it on Ninja Trader. It's an excellent article… Kind Regards.” – M. F.

10.  “Thank you very much for you post and really moving presentation...” - E. T. 

11.  “Good morning and thank you for your very interesting article published on… September… Kind regards.” – G. L.

12.  “Dear Sir: I read with interest your article in… December… I really enjoyed this article. Thank you very much.” – J. C.

13.  “Mr. Mustapha, I recently read and enjoyed your article…” - K. L.

14.  “Good morning and thank you very much for your valuable article…” – G. L.

And the list could go on…

Conclusion: For years I’ve been striving to help others to be the best traders they can be. One good way of doing this is to write articles that reveal the principles that can guarantee one’s success in the markets. Better articles are coming on this website, written by me and my other colleagues who work tirelessly to bring out the best trading knowledge for the benefits of our readers.

If you’re passionate about trading success, I‘d like to recommend TRADERS’ magazine to you. It comes free of charge and you can get invaluable trading information from it on monthly basis. Just go to the link at the end of the quote below (an excerpt from the magazine), and you’d be able to register for past and coming editions – at no cost. 

“I picked up unhealthy habits of telling people what they want to hear, and most fatally developed a need to be right, which was only further fostered by that environment. Now, as a trend follower, knowing that I will have a low strike rate has all but removed that ‘need to be right.’ I don’t live from one trade to the next, each one is a tiny part of an overall process. I accept that there will be more losers than winners, and I can never know what each trade brings, so after a while you learn to treat them all the same with little emotion. Your only job then is to manage risk to ensure those losses remain small enough for the big winners to outweigh them monetarily.”  Jon Boorman (Source: www.tradersonline-mag.com)

Azeez Mustapha

Market Analyst, Trading Signals Provider and Coach

Eye-opening trading lessons: Lessons from Expert Traders

Wednesday, January 1, 2014

Annual Trading Forecast on Facebook (2014)


Facebook stock (NASDAQ:FB) is already a bull market in spite of occasional pullbacks that are experienced on it. These pullbacks give astute traders and investors good opportunities to go long at better prices.


On the chart, the price is trading above the EMA 21 (which is acting as a support to the price). The Williams’ % Range period 20 testifies to the strength of the bulls. There is currently a pullback in the market, and there is a support level at 50.00, which should act as a barrier to the bears’ machinations. This stock could reach the resistance level at 100.00 eventually.  

Conclusion: This year would be favorable to bulls on Facebook. You may think the market has gone too far, but the price on this stock will double or treble this year. Those who believe in efficient markets may think that circumstances are stacked against determined traders, but when we have excellent trading approaches, we have an unbeatable advantage. I wouldn’t mention anything like permanent success in the markets if it weren’t possible. It’s possible to enjoy trading and have permanent success as a trader.

This forecast is ended with the quote below:

“My objection to the system vendors is that they maintain that their system is all that is required to be successful, whereas in reality it is the ability to implement a system or strategy that determines success.” - Malcolm Robinson

Azeez Mustapha

Market Analyst, Trading Signals Provider and Coach

Eye-opening trading lessons: Lessons for Expert Traders