Today in forex trading the GBP/CAD and NZD/CAD moved higher on CAD (Canadian Dollar) weakness. The GBP/CAD should continue higher on the H4 and possibly D1 time frames, but the major trend on this pair is down on the MN time frame. The GBP/CAD still has upside potential going forward for 1 or 2 two days. The NZD/CAD moved higher but this pair is inside of various levels of resistance, for that reason we would scale out lots or exit this trade. The trading signals for the CAD pairs is shown below from The Forex Heatmap®, along with the price chart movement. The heatmap provides trading signals for 28 currency pairs and can be used for day trading or entering new or existing trends on the higher time frames.
The NZD/USD is trending higher on the larger time frames. The W1 time frame is shown below in the image. Current resistance and price alarm point is at 0.7305. The next resistance level is at the 0.7500 – to 0.7700 level as noted on the chart. Forex traders can set an audible buy alert at 0.7305 on their trading platforms. Then when the alert hits you can verify any buy trades with The Forex Heatmap®.
Today in forex news the Bank of England cut interest rates from 0.50% to 0.25%, and the Monetary Policy Committee left the door open to more cuts going forward. The cut was widely anticipated in this post Brexit business environment. This is the first BOE rate cut in 7 years.
For traders, the British Pound dropped strong against all 7 currencies we follow. The GBP/USD is at an intra-day low of 1.8240 and the GBP/NZD had an intra-day low of 1.8240. Most GBP pairs we follow remain inside ranges and clusters, but the GBP/NZD and GBP/JPY have broken short term support levels and we will look to continue selling these pairs in our daily trading plans. We expect more GBP pairs to follow based on GBP weakness. The long term trends on the MN time frame on all GBP pairs continues to show GBP weakness. Today’s live sell signals from The Forex Heatmap® are shown below to show the GBP sell off, along with the price chart movement after the announcement today.
In this video we will use the JPY (Japanese Yen Pairs) to show how to build a sample forex trading plan for one group of currency pairs. These principles work for any group of pairs with one common currency. For the JPY pairs you would drill down the charts using multiple time frame analysis for the JPY pairs, AUD/JPY NZD/JPY, CAD/JPY, EUR/JPY, etc., all 7 JPY pairs total. In this example the long term trends are all pointing down, and the H4 and D1 time frames are reversing back down into the trend, so the charts show that JPY is strong and that the JPY pairs are dropping. Our trading plans for this day reflect the JPY strength. We issued sell plans for various JPY pairs along with the price alert points for traders to set audible alerts to detect the movement to the downside. When the alerts hit in the Asian session the JPY pairs are in an obvious sell off and our currency alert system also shows the sell off. This is a very safe way to trade the forex and this method works for any group of currency pairs, i.e., USD pairs, CHF pairs, NZD pairs, etc., for a total of 28 pairs. In this video we use the JPY pairs as a sample, then the same methods and techniques can be use for any group of currency pairs.
Today in the main forex trading session the CHF was weak on all pairs. The CHF/JPY dropped substantially and is trending lower on the D1 time frame, it has ongoing pip potential in the current downtrend. The NZD/CHF also moved higher and this pair should start trending up on the H4/D1 time frames. We will look to plan more buys going forward in our trading plans on the NZD/CHF. Other CHF pairs like the AUD/CHF and GBP/CHF moved up pretty strong today on the CHF weakness in the market but these pairs are inside of ranges and were short term buy trades or day trades. The images below show the live CHF trading signals from The Forex Heatmap® along with the associated price chart movement in the direction of the trends.
The EUR/AUD is forming a new uptrend on the D1 time frame. Traders can set a buy alarm at the 1.4775 level. The upside potential on this new trend is as high as the 1.5500 resistance level, so entering this trend has excellent upside potential. When the price alert hits check The Forex Heatmap® for trade entry verification signals. The trend charts you see for the EUR/AUD are exponential moving averages which are easy to set up. These trend indicators can be used to follow the major trends of the forex market and our trend based trading plans.
Today in forex trading the GBP (British Pound) was weak on all pairs in the group and this drove very strong price movement. The live trading signals for the GBP and JPY (Japanese Yen) pairs are shown below from The Forex Heatmap®. The GBP/USD and GBP/JPY had very strong sell offs and broke through short term support levels and into their long term trends. The NZD/JPY also sold off on the overall JPY strength in the market today. The GBP/JPY and GBP/USD are in strong downtrends and both pairs are at post-Brexit lows, and the GBP/USD is at a multi year low. We see a lot more sell potential ahead on these pairs. The Forex Heatmap® provides live buy and sell signals for 28 pairs. You can see the signals from the JPY and GBP pairs in the images below along with the nearly 400 pip sell off in the GBP/JPY.
The NZD/CHF is trending higher on the W1 time frame. Traders can set a buy alert at the 0.6985 resistance area, which is noted on the chart. When the price alert hits price check The Forex Heatmap® for a confirmation buy signal. The NZD/CHF has great upside pip potential past the alert price up to the 0.7400 area resistance level, noted on the trend chart below. So the overall pip potential is about 400 pips, which means the risk to reward ratio and money management ratio for this trade is excellent. We conduct all of our trend analysis using multiple time frames of trends. We isolate each currency like the NZD and CHF plus six other currencies and analyze them separately to determine the trend and overall plan of entry.
This video will show traders how to set up profiles for individual currencies on meta trader. This will enable traders to group pairs by individual currencies following the principles of parallel inverse analysis. Setting up profiles for individual currencies mimics The Forex Heatmap® and our market analysis spreadsheet. You can set up each currency group of 7 pairs in one profile, set up one profile for the USD pairs, one profile for the JPY pairs, one profile for the AUD pairs, etc., and access them quickly with one mouse click for analyzing a currency. Setting your trend indicators up this way allows you to see the market movements if a particular currency is strong or weak.
This video will show forex traders how to set forex price alerts/alarms on metatrader. This will allow traders to monitor any currency pair for price breakouts or trend continuations after consolidation phases. First you locate a trend on the larger time frames for a trend continuations or breakout point. Then you locate the breakout point at short term support or resistance, go to smaller time frames, and set the alert so you can intercept the next price movement. Then the video will illustrate the mechanics of setting the alerts. When the price in the alert is hit, the audible alert will notify you of the price breach on your desktop. Then you can check The Forex Heatmap® to verify the trade entry. This is one of our alert systems, we have several forex alert systems so you always know when the forex market is moving.