Daily Outlook for EURUSD

Attached is the 1H and 4H chart of EURUSD. As can be seen, not only EU several other pairs seem to have been caught in a range over the past 5-6 hours and they do not seem to know wheere they want to go. As for EU, it is caught in a range between 1.3367 and 1.4430.

The good thing is that EU is showing a lot of strength as we had expected yesterday. Also, the daily chart shows that it ended yesterday towards its highs and also above some of the previous highs, all of which points to the fact that there is strength for some more upside.

On the upside, the first resistance that needs to be broken is 1.4430 and i believe that it will prove to be quite tough. After that, the next resistance is at 1.4470 though it would be a small one. Beyond that is a very strong resistance at 1.3550 where some previous highs exist as well and hence should prove to be quite strong.

On the downside, there should be some good support at 1.3367 and then at 1.3330 and finally good support at 1.3300.

I would favor longs today but i would be careful with them. I might just take some small longs and keep taking small profits as and when they come. Play the range.

Price Action Trade on EURUSD

It was a good day of trading....Nice down move to load up the longs and then an up move to show the strength for all to see. As expected, EU peaked towards its support at 1.3336. It was quite obvious that it had peaked too early and so a correction was due and it came during the London session. With London closed, it had low volume and hence it was easy to manipulate the price and down we went. I had a very strong feeling that the uptrend was intact until 1.3184. So, took a long at 1.3232.

Attached is the chart on 1H for EU. Watch the PA at the bottom of the swing. There was a bar with slightly high volume which almost ended as a pin bar....This shows strength and buying which has pushed the price back. Also, this is near a good support region...This is good reason for me to take a long which i took at 1.3232. Next bar, we go down but i dont panic cos i know that the uptrend is intact till 1.3184. This bar then ends in a pin bar with slightly low volume which confirms that the uptrend is intact. I stay with my longs and close it at 1.3336 for more than 100 pips profit...I am sure it will go up more but this is a resistance region and so will wait till the resistance is broken.

Daily Outlook for GBPUSD

Attached is the 1H chart of GBPUSD. GU has broken through the highs of last week and seems poised for more upside. It should face tough resistance at 1.4980 and +- 30 pips around this as it is around the huge psychological resistance of 1.50.

We need a clean break and close above 1.5050 for any more upside on this. If this resistance does break, then we should be seeing 1.5170 and then a clear move to 1.53.

On the downside, we should see good support at 1.4940 and then good support at 1.4893 which is also a daily support and hence should be quite strong. Then a small support at 1.4832 and then a strong support 1.4771.

I would favor longs for today

Daily Outlook for EURUSD

Attached is the 1H chart of EURUSD. As predicted in my weekly outlook yesterday, EU has started the week very strongly. Right now, it is pushing against a good resistance at 1.3336. This should prove as a bit of a good resistance but considering the underlying strength in EU, it should push through.

On the upside, it should face some strong resistance at 1.3370 which should prove a bigger resistance as previous highs are located there. If it does manage to puush through, then we should see a easy ride to 1.3430 and then to 1.3550 and finally the target at 1.37. These should take a few days though.

On the downside, the supports would be at 1.3306, 1.3275 and then finally a very strong support at 1.3184. But my guess is that today should be an upday for both EU and GU.

Weekly Outlook for GBPUSD

Attached is the daily and weekly chart of GBPUSD. As can be seen from the daily chart, it closed above the resistance at 1.4893. Despite closing above resistance, this is not a guarantee that the price will go up easily. There is stiff resistance at 1.4950 and also at around 1.5000 where there are previous highs and also cos 1.5 is a huge psychological resistance.

It can be seen that price has tried to close above 1.5 several times earlier but it has found it to be difficult which shows that there is a lot of selling that needs to be overcome.

On the weekly chart, we can see that there is strong support at 1.4650..In fact, for the past several weeks, price has not gone much below 1.45 and price has basically been ranging between 1.45 and 1.5. The upcoming week could see some more ranging or if price does indeed manage to breakout on either side, it could be a huge breakout considering the fact that price has been ranging for so long.

What all this says is that, as and when price nears 1.46, it could be a good place to go long but would the price come near 1.46 ? That is anybody's guess. In the upcoming week, we could try to trade the range as long as it exists and if and when breakout happens, just jump in and enjoy the big ride.

Signal Service

Hi,
Today i am, for the first time, publicly announcing that yes, i do run a signal service. This is in response to several visitors of this blog asking me about it and how they could join the same.

I currently have 28 subscribers in it and i give out 200-300 pips worth of signals everyday. All these subscribers have got enrolled purely through word of mouth and not through any ads or fake promises. I dont need to prove my credentials to anyone and i dont need to lie to anyone as well. My credentials are there for all to see on this blog and on my thread at FF where i have kept posting to the minimum so that all the info is condensed in a few pages rather than wasting pages to post "155, here we come or 130, here we come" for every 100 pip move.

Of course, the question would arise on why i need to run a signal service when i can make 200-300 pips a day myself. The reasons are several :

1. I have been asked by so many people to have a signal service so that they can benefit.

2. Due to my leverage restrictions, i cannot take all the trades myself which means that several trades go waste which, if given to others, would have proved useful.

3. I hate to see so many nice trades going waste when so many others could have taken it. Of course, i could update it live somewhere but by the time i do it, its too late. I tried to use twitter but being in India, it does not accept my mobile number. Also, with no monetary incentive, the task of updating all my trades as and when they occur was proving to be highly tedious.

4. Who does not like more money, esp. doing something which you love, i.e. trading...??

I am ready to take in more subscribers and i also will give a weeks worth of free live signals as a trial so that you can decide whether you want to subscribe or not. Those who are interested, please email me at kartram.77@gmail.com.

I am also planning to start a course of my style of PA trading. i am just collecting the material. Will update you guys. If anyone is interested in that, please mail me in the above mail id.

Irrespective of subscribers, this blog and the thread at FF will continue as usual..

Weekly Outlook for EURUSD

Attached is the daily and the weekly chart for EURUSD. You can see from the daily chart that the price has been finding it difficult to close above the daily resistance at 1.3306 and it has failed in 2 successive attempts. But the weekly charts show that for the past 2 weeks, price has fallen down but has again closed right back up.

The fact that the price fell down and then came back up again shows that it has good strength now. Also, on the dailies, we could see that though it has failed to close above 1.3360 and this price has proved to be tough resistance, the fall has not been huge.

Normally, if indeed huge selling had been there, we should have seen price fall down by 200-300 pips and also close the week on its lows. But we have seen the price fall only about 150 pips and even then the price has come back up again.

All of the above shows that EURUSD still has lot of strength in it. So, this week, we might see this pair going up, breaking the strong resistance at 1.3360 and make an assault on the next weekly resistance at 1.37..