Hello and welcome back.

Even though the end of the year is near, there is still a lot of room for movement amongst the majors – starting this week with a plethora of announcements, including interest rates amongst four central banks and the US NFP on Friday, December 5.

From early looks, it seems the EUR/USD is forming a triangle in what is potentially the Wave 4 on the Daily charts. We will monitor and update everyone.

As we get closer to the NFP, we’ll also get a better idea of the consensus and plan our course of action from there.

Hello everyone.

Let’s go back to some basics with our friend - trendlines. Let’s take a look at the hourly chart on the USD/JPY.

Although you can’t see it, we had a triangle forming and you saw that once it broke the bottom triangle trendline, it went down, came back up to almost the same level and then dropped.

Now, we are approaching another area of indecision. We’ll watch this pair as it approaches the trendline in the yellow shaded area.

The pair may go up to the trendline and keep going, it may hit the trend line and reverse back down or it may not hit the line at all. This gives us a potential area where the currency may hit so we know what to potentially watch for.

Remember, when you are trading to always apply your own money management and risk vs. reward ratios.

Heading into a short week for the U.S. markets due to the Thanksgiving holiday, there will be less volume and you may witness more volatile movements.

Good luck and if we want to wish everyone a happy and safe weekend.

Hello.

Today will be a busy day as we have the CoE, CPI and FOMC Minutes coming out.

Let’s take a look at the EUR/USD. As you can see, the pair has been pretty stagnant right before the opening hours of the European session.

We drew in a couple trend lines and we will wait and see what unfolds from the day’s trading and the reports coming out later on today.

Initially, it shows that the EUR/USD will potentially  continue its downtrend, however, we’ll need to wait and see what unfolds. A strong break of either line may indicate a short-term breakout.

Good luck and remember to use your own money management and Risk vs. Reward ratio when placing any trade.

If you’d like more detailed analysis on the reports coming out, be sure to visit FXStreet.com.

Hello. We hope everyone had a nice and restfull weekend.

This is our wave count for the USD/CAD. As you can see, our count shows we are on the 3rd wave of a Zig Zag (ZZ) movement down. We completed the first wave (of the ZZ Wave 3) as denoted by the “1″. After that, we saw the pair go back up to the 61.8 Fibonacci level from the high at Wave 2 and the low of Wave 1.

Have we completed Wave 2?

Right now, we’re in a watch zone. If the pair breaks the top of the highlighted box, we potentially look for a buy. If the pair breaks the bottom of the box (equal to the low of Wave 1), then we potentially look for a sell.

Remember to always consider your own personal risk and apply your money management techniques when trading.

Good luck and we’ll see everyone shortly.

Greetings.

This chart should look very familiar to you as this was the one I put up yesterday. As I have mentioned in the past, when you combine a good mixture of technicals together and they all flow together, you get some pretty high probability trades.

I knew I was looking for a ZZ Wave 3. I also had a contracting triangle which is great for showing a continuation of the trend. So, even if my count was wrong, I knew i had a better probable chance of being correct because I matched it up with a triangle. If you entered at the market price shown on the chart 0.8239, you’d be up more than 150 pips as current price is about 0.8406.

The reason for this post is not to toot my horn about being correct. I can give you plenty of trades throughout my career where I was completely wrong. The point here is that I used two types of analysis (Elliott Wave and a Contracting Triangle) to increase my probability that this trade was correct. There is no one magic formula to the markets, however, you can increase your probability of being correct. Keep researching, develop a trading plan and stick with it, always remembering this is a dynamic market and you must change with the times.

We do have a few more of these similar patterns forming in the market right now. They are not complete but when they do arise, I will be sure to post them.

Good luck and we’ll see everyone again shortly.

Hello everyone.

We actually have a trade set up on the CHF/JPY hourly chart. This will be a good example of putting some elements together to form a trade set up.

First off, we’re in the 3rd wave of a Zig Zag (ZZ), which is one of the best waves to trade with. We’re also approaching a nice trendline. If we see a nice break of this trendline, look for a nice movement down.

Be sure to watch the news announcements. This is rigth between the two markets (Japan closing and Europe opening). As always, use your money management when taking any trade.

Good luck.

Greetings. We hope everyone enjoyed their weekend. For those of you that attended the Forex Trading Expo in Las Vegas, I hope you had a good time. Perhaps next year you will attend one of my seminars or group discussions at the expo. I know I will soon see all of you at an upcoming ITC from FX Street.

Let’s take a look at the EUR/USD. Let me first state that this is a risky set-up (of course, all trading set-ups are in some way ‘risky’). However, this does show a good example of utilizing your Risk vs. Reward Ratio.

One Elliott Wave count is looking at a Wave 3 Impulse move down. The high of 9/15/08 serves as the invalidation point, as that is the completion of Wave 2 - put your stop right above there. If this forecast is correct, look for the pair to head down below Wave 1, potentially to the 1.3700 area.

Again, this is a RISKIER set-up than I would prefer when trading but it is a valid count. Proceed with caution and utilize your money management techniques.

Good luck.

Hello everyone.

If you remember, we said the EUR/USD was heading down to 1.1000. We’ve had a good move down thus far and now we’re in a bit of a retracement. The longer term trend is still down.

I drew in a trend line and did some Fibonacci analysis and found a potential turning point at 1.4220.

So, the question is, do we trade against the overall trend? We’ve all been taught - the trend is your friend. Well, the answer depends on your risk tolerance and money management. Also, be sure to check out the other expert bloggers on FX Street.

Good luck and happy trading.