Will USDJPY MONTHLY CHART FOLLOW THIS CORRECTION PATTERN SHOWN ON DAILY TIME FRAME?

The USDJPY is a bullish market but has been in a range for months. This USDCHF depicts the behavior of monthly USDJPY chart. The buy signal occurs when price finally retest 200 third times confirmed by price reaching the lower band and Stochastic 10 and 40 giving continuation signal at level below 20 and 40 respectively. The MACD peak also […]


UNDERSTANDING THE USE OF 200 SMA AND TRENDLINE IN DAILY TIME FRAME

The 200 SMA is a popular indicator widely used by professionals and even all traders. The knowledge of this indicator will guide us in taking trade decisions for better profit yields. Our in depth research revealed the application of 200 SMA and its relationship with 10 SMA in Monthly Time Frame. How do we use this indicator to our profitable […]


Forex Trading Using Trend Line in Weekly Chart A Case Study of GBPUSD.

In this study we adopted the following tools as method to guide our decision 1. Bollinger Band 2. 10 SMA 3. 40 SMA The system works as follow To determine a Trend line we connect two price peaks, Higher Low. The High shall be from Bollinger upper Band peak and Low shall be price Peak reaction upon break of 10 […]


The Trend line and Double Bollinger Band Setting (40 deviation 1 and 2) on Monthly Chart to Gauge Market Turning Point with Stochastic Confirmation. A Case Study of USDJPY

TRENDLINE A trend line is established from Bollinger Band break out of upper or lower bands to the point of Break and retest of BMB. A trend line is the line connecting the upper band breakout signal to the last bullish body on the retest of BMB before continuation signal. The spikes are not part of trend line but confirmation […]


Understanding Bullish and Bearish Continuation in a Corrective Market Using Stochastic and MACD in relation to 40 and 200 Simple Moving Averages.

This strategy adopts the Newton’s law motion which states that action and reaction are equal and opposite. We look to apply it using simple moving average when we established Buy and Sell signal from Monthly Time. If for instance, monthly time frame gives us a sell signal, we move down to daily time frame and begin to adopt this principle. […]


The Monthly Information of Trendline Using Simple Moving Average as Price Gauge

This strategy is used to gauge the market sentiment and gives overall market sentiment to confirm bullish and bearish state of the market. It is investors strategy and if well understood can be applied by short term traders. The beauty of this strategy is that it has defined the investors stop loss level and take profit zone. If adequate money […]


BTCUSD – Showing strong downward trend (SELL)

BTCUSD – Showing strong downward trendBitcoin has lost its Saturday’s gain with over 12% loss in value on Sunday… This is clear sign that it will likely follow last week bearish movement. Trading signal: Sell short…


Understanding the Use of Trendline and Fibonacci Strategy in Forex Trading.

This strategy was developed using 40, 160 and 200 SMA as it applies to chosen time and Bollinger bands to confirm breakouts. This strategy can be used in any time frame but its application in higher time frame is quite magnificent. Click on the link to continue readingUnderstanding the Use of Trendline and Fibonacci Strategy in Forex Trading


Understanding Trend line Fractal Formation using SMA as a follow up Trade.

This strategy is guiding principle for following trade. We make use of 10 SMA, 40 SMA and 200 SMA. The Trendline fractal is developed by price support levels which must originate from a source which is usually end of defined wave. We may use wave 1 beginning point or wave 2 to form the fractal. The simple rule in following […]