Hello.

We are about 4 hours away from the opening of the European markets and we wanted to give you our EUR/USD analysis.

As you can see from the screen capture, we have put in two trend lines.

The overall trend seems to be downward movement. Look for the pair to go up and test the top trendline before coming back down. If it breaks the bottom trend line and spreads away from it further down, then look for a nice continuation downward.

As many of you in Europe and the UK get ready for this trading day, be sure to do your research - including checking for announcements that may affect the market. Also, be sure to place your stops and apply your money management.

Good luck.

Hello.

This is a trade watch for a potential turning point for the USD/JPY.

We drew a Fibonacci line from the high of 8/15/08 to the low of 12/17/08 and have highlighted where we currently are. If you notice, we just broke the 38.2% retracement line. We broke it, but we did not break away from it yet.

Watch for a potential change in trend to the downside in the near future. It may go all the way up to the 61.8% retracement.

The best way to analyze this is to break it down in lower time frames to see what comes up. As far as this daily chart goes, we can see a 3-3-5 wave formation.

Good luck and remember to always use your stops and apply your money management.

Hello.

We’ve been getting a couple questions about the USD/CHF and, as it turns out, we have a pretty nice wave formation going rigth now so we thought we’d give you our count of this currency pair.

Refer to the chart.

As you can see, we had a nice 5 wave movement up that is pretty self explanatory on the count. Now, we’re in the retracement wave.

After the pair peaks at Wave 5, some analysts would put the first wave (the one we marked “i”) as the “a” wave. Although this may be correct, it is very short in both time and price so we’re labeling that as the first wave of the 5 wave corrective “a” wave.

We then see we have a 5 wave movement down to complete the “a” wave and am now heading up into the “b” wave of the retracement. Look for it to top soon and then head down for a “c” wave. If the pair goes above the high of Wave 5, then this will invalidate this forecast.

Remember to use your trailing stops and apply your money management when trading.

Good luck and if we don’t see you before then, we hope everyone has a restful and relaxing weekend.

Hello and welcome back!

We had a nice weekend here and am just catching up with all the markets. Our scan of the markets has pulled up the EUR/JPY.

We first pulled up a daily chart and see that the overall trend seems to be down. We took it down to the hourly (H1) chart for a closer look and have attached the screen capture here.

Look for a test of the first trend line at Line 1. If the pair breaks the line and keeps moving up, look for it to test the second trend line at Line 2. At that point, look for a potential reversal to the downside - keeping in mind that it may wick above the line.

Good to see everyone again and we’ll see everyone again shortly.

Hello.

Let’s take a look at a shorter term chart - GBP/JPY.

We’re about halfway through the Asian session and about 4 hours before the opening of the European markets.

We saw the currency pair hit a potential turning low point on Thursday. From there, we have a nice movement up. You can see our count of the retracement.

The bears seem to have short-term control of the GBP/JPY. We’ll potentially see a retracement back down (completing Wave 4) and then a Wave 5 movement back up.

Remember, this is a shorter term trade so be sure to keep your stop losses tight and apply your money management. This pair can move very quickly in a short period of time so check your announcements.

For those of you in the US, we hope you have a nice (and relaxful) President’s Day weekend.

Good luck and we’ll see everyone again shortly.

Hello and welcome back to another week of trading.

On the AUD/USD daily chart, we’re forming a (contracting) triangle formation and we’re almost near the end of it.

According to our analysis, we are in a downtrend. Watch for a potential test of the upper trend line, however, look for it continue down. If you are are currently in a sell trade, put your stop rigth above the upper trend line - keeping in mind that it may “wick” you out so be a little generous when setting your stop loss prices.

Once it breaks and moves away from the bottom trend line, look for a nice movement down.

This is a nice potential trade set up here so keep your eyes on this one. Remember to place your stops and use your money management.

Good luck and we’ll hopefully we’ll get another set up to share with you tomorrow.

Happy trading.

Hello.

What a trading day we had on Friday. We were looking for a longer term short trade and we made a few pips before the pair came back up.

Now, has the pair “topped” and will we see a move down? Our analysis shows that we’re potentially in a definite long term down trend so watch the opening of the European session and also some economic data and announcements coming out of the U.S. today.

We’ll have all the updates with screen captures for you later on in the week.

Good luck and happy trading.

Hello.

It’s the middle of the Asian trading session and we’d like to update everyone on the AUD/USD Daily chart.

The daily chart has formed somewhat of a triangle and we are nearing the breaking point.

Watch for the currency pair to break either Trend Line 2 (TL 2 ) or Trend Line 1 (TL 1 ).

If it goes up and breaks TL 2 and continues moving upward, then look for a good movement up to test the top of high of 1/7.

If it goes down and breaks TL 1, then watch for it to test the low of 10/27/08. If it breaks and moves lower, then look for a good movement down.

We will most likely see what unfolds on Friday mornings USD’s NFP announcement.

Remember to use your stops and apply your money management.

Hello everyone.

Welcome back to another trading week. I wanted to take a break from analysis and forecasts for a day and take somewhat of a ‘coffee break’. And although this is not a forecast, I hope this will potentially help you in your own trading because that is what we want you to achieve.

Part of our analysis involves trendlines. Many times when we are approaching a trendline (as we were in the EUR/USD daily charts), we said to watch for a break of the black line and for the pair to keep moving down.

The pair did break the line, however, you can see it quickly retraced back up. So, although this may constitute a break, we didn’t trade this because it didn’t close below the line and then continue down.

This is a good rule to follow when entering the market near trend lines.

So, you ask - what do we do now? We look at shorter time frames to see if there are any internal wave counts that could indicate a retracement or continuation.

We’ll save that for our next coffee break.

Good luck and happy trading.