EURO and GBP made the drop yesterday from late European session and were expected to spike up and did not rise and the expected Japanese session fall has happened now.From European session they are expected to rise and swing during late European session to firm up again during US session.The expected moves may or may not happen.The rises are not happening during expected rise time but the falls happen correctly.The players are not rising much and if they rise they drop immediately once the short covering is over and traders turn long.They are not rising as expected because they want the traders to follow the technical analysis and try to turn long during ‘correction’ time and then drop to hit the stops.Traders find it difficult to go short after the drop.So the thin volume wide range swings are happening in the market.Still the players are trying to make lower level consolidation with downward stop hunts for month beginning to spike up any time using some excuse - the election results,ECB and BOE interest rate decision or NFP.They are dropping and buying just opposite of how they rised and build sell positions at higher level about 3-4 months back.At that time no one was believing that the players are sellers at the highest levels. What I say may appear nonsense now,but will be realised true once the result of this move is seen by end of this month and end of this year.

Still I request the readers to focus on other analysis of other bloggers and their own to take trading decisions.But trade with desired level stop to limit the risk.Once the position -either sell or buy, makes profit move stop to entry and then maximize the profit with any objective target or profit taking level.I am actually watching the market  now and looking for right entry point to take positions.ie when the low is formed during the session and it has not cut the low set for the day for more than 30 min I enter long with 30 pips stop and move stop to entry once the position makes 30 pips.When  more profit is seen I change the stop to trailing stop of 15 pips from the market  and keep 75 pips limit.The position might be closed with trailing stop or limit.Similar trades can be tried near high once the high is not cut for more than 30 min from the start of a session and if the maret is near high.The prime step for equity management is to limit the risk and maximize the profit.

Regards

Dr.Sivaraman