Just as we opened the London session today, we immediately found ourselves in a beautiful price trap on the GBP/JPY on a 15m/hourly basis. This trap had a very precise bottom at 157.29, which just so happened to be overlapping our new hourly 21ema, and happening exactly at the London open. Also we were bouncing off a 61.8 Fib zone and 2hr 21ema on the USD/JPY to the upside, and the EUR/GBP was starting to fall off yet another lower high itself, all at the same time. So let’s see, we have correlation telling us likely Japanese Yen weakness, British Pound strength, at a precise trap bottom, solid looking support on the 1 hour chart (21ema) all exactly at the London open. Hmm.. Long GBP/JPY anyone? What was so nice about this entry was it’s risk. The horizontal trap bottom/21ema overlap was so precise at 157.29 that one only needed to wait for any green on a short term chart around that area, we used a 1minute there, and place a buy order on GBP/JPY with a stop as close as 10-15 pips below, targeting a trap projection about 120 pips away. The cool thing with this sort of entry, is the risk vs reward was very much in our favor. Probability favored that even if we were wrong on the trade idea, that we would bounce from our entry certainly far enough to lock in break even, therefore having a zero risk trade! Sure enough, within 5 minutes we were +35 pips locked in break even, the rest is history. I detail this trade entirely in this video, and had you held on until London lunch we did eventually make our target of 120 pips or so before falling 50 pips just after, I suppose we were not the only traders seeing this scenario.

Have a great weekend folks, see you at the Forex and Options Expo in Las Vegas at Caesars Palace Monday morning! Visit our blog at http://blogs.fxstreet.com/fxbootcamp/ for more information.

FXBootcamp London Currency Coach-
Christian Stephens

Hi everyone. Thanks for your feedback on yesterday’s video please continue leaving me your thoughts in future always appreciated. For today’s outlook I build on this week’s Pound Swissy analysis. I branch out from the traditional intraday analysis and take a longer term view of things; additionally I also build a trade plan for range bound cable. Good luck!! David Pegler

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 Fundamental analysis creates long-term trends in forex. Technical analysis only identifies entries and exits, however, it does not create the trends themselves. Central bankers, hedge funds, mutual funds, and other institutional investors make most of their decisions based on fundamentals such as economic data, the health of the economy and the results of news. A successful trader should align their technical forex trading strategies with the over-all market fundamentals. This presentation will teach you how to plan like a central banker, invest like a hedge fund, and scalp like an intra-day trader.

Buy at support, sell at resistance. Pair up a strong currency (the British Pound) with a weak currency (the Japanese yen). Profiting from the rise of the GBP/JPY currency pair during today’s New York session was a matter of applying basic trading principles. The net result of an entry at the daily M4 pivot point plus exit at the weekly R1 was an 80-pip profit.

Curt Wehrley
FX Bootcamp’s Quantitative Analyst

During Pre-London today the British Pound Sterling began showing signs of strength against all comers, and offered a nice higher low entry on GBP/USD that carried eventually all the way until the daily R2 reversal pivot point. Great trade, was very rewarding. However, should you have arrived into the market JUST AS London opened, around 3am NY time, the only conservative way to join this move mid-swing was a decent pullback. Using correlation with EUR/GBP, along with all of the GBP pairings at the same time, we built two trade plans to re-long GBP/USD, and GBP/JPY. Unfortunately the GBP/USD just barely missed our entry criteria, so unless you were in since pre-London, it was rather difficult to long and feel fantastic about the risk. However, as greatly detailed in this video, the GBP/JPY pullback did indeed get near enough to our trade plan’s entry zone, and furnished us with a nice short term higher low exactly when we wanted to see it. This information, along with GBP correlation beginning to show continuation (eur/gbp etc.) gave us the confidence to take our entry here with a very minimal stop loss of 15-30 pips depending on the support you chose to place your stop loss under. End result, as the video shows, was a very clean 70-80 pip trade that allowed us to lock in break even, and subsequently what we call MAP at FXBootcamp (Minimal Acceptable Performance) of 15 pips very easily and quickly. Once that was done we simply awaited the 157 zone which we had as resistance, also this was the GBP/USD daily R2, and EUR/GBP’s weekly S2 reversal pivot point. Overall, this was a Pound feast, with correlation help galore, have a great day folks! See you at the Las Vegas Expo Monday!

FXBootcamp London Currency Coach-
Christian Stephens

Hey everyone looks like another challenging day shaping up for a few currency pairs. In this video I continue with the Euro Yen and Pound Swissy analysis that we have been looking at for the week. I bring nothing new to the table today. I put together a few trade plans that are simple and trend following. Please leave me some feedback on YouTube or the blog even if it’s a hello. Good luck!! David Pegler

Rinse and repeat. Yesterday was a down day for the EUR/USD currency pair, and today brought more of the same. One combination of short trade entry and exit during the New York session yielded 80 pips in profit.

Curt Wehrley
FX Bootcamp’s Quantitative Analyst

Hey everyone, for today’s London outlook I highlight a potential breakout for the Pound Swissy that should give us a nice trade on a daily level. Additionally I also analyze the Euro Yen and build a simple trend following trade plan. Nothing but basic trend analysis as well as support and resistance. Good luck today!! David Pegler