Technical Analysis on EURO/USD and its Trade SET-UP

The EURO/USD is moving in a very close range in this Morning Asean Trade with its consolidation in progress.  The retreat from 1.2454 can only be considered being ended if the price action has broken convincingly the 1.2342-1.2352 (current kijun-Sen level and Ichimoku cloud top side), Only above 1.2395-1.2400 will retest of this 1.2454 level.

The intraday support level is 1.2255,below this will expose 1.2204 which in turn is a critical support, only breaking this level (1.2204) will then open the door for dropping to next  support level at 1.2154, Further breaking this may send the  pair  down below 1.2000.....

Watch this price action closely, and you can set up the trade accordingly as per above Technical Analysis.
Since the present Price action is rather indecisive and moving in a very close range (1.2255-1.2343), You may decide to wait for further trend development before setting up any trades.

Happy Trading

EURO/USD Multi-Trendlines to watch for next Huge move Direction ??

we have several things to watch for.  Namely, this short term triangle.  A break of the low indicates another swing downwards, with a target of 1.1600.  An upside breakout is somewhat more interesting.

Right now the breakout point for the triangle is just above 1.2450 which places a target at 1.3000.  

The dominant trendline, the one which factors all major swings, will intersect just above 1.3000.  Thus, the triangle breakout may have just enough steam to break the dominant trendline.  If that is the case a much larger reversal could occur.  If the trendline holds, look for lower rates once again off that level.

By breaking the market down to these two points on this time frame, we can de-clutter a lot of the information out there.  A drop below 1.2130 – indicates continued downward pressure.  A rise above 1.2450 indicates pressure higher.

False breakouts are tradable too.  In this volatility don’t get stuck to one side.  If something breaks out and fails, don’t be afraid to trade the failure.  Be Nimble – this is an individual trader advantage in the market place; they can enter and exit with ease and at will.


Happy Trading

Spain has just been DOWNGRADED to AA+.... EURO/USD REVERSAL HALTS ..EXTREME VOLATILITY MAY RETURN AND......DOWNFALLS FOR ALL MAJOR EQUITY INDICES IMMINENT NEXT WEEK ??

The steady reversal on the EURO/USD halts after FITCH has downgraded Spain just minutes ago, causing an immediately down spike of over 100 pips , now this pair is heading South again rapidly... Now traded at 1.2300, Breaking below 1,2250 may expose the recent Low at 1.2143 AGAIN.


This downward price action SHALL  halt all reversal on the World"s Equity// /Forex Markets right now,. ... Very damaging indeed,... Now the US markets (S & P 500, and DJ are ALL down 1% after this Spain Downgrading !!


Traders who are on-line now must execute immediate Trading actions !! Extreme Volatility  will be back next week,, 


ALL TRADERS ARE TO GET READY FOR THE POTENTIAL BREAKOUT  FOR  EURO/USD, GBP/USD, USD/CHF.; AND  A  POTENTIAL HEAVY DOWNTURN FOR  FTSE,DAX, S & P 500, CAC MAIN INDICES FOR NEXT WEEK  TRADING ....

More Trading Books for Free Download

I have just added a Few New E-BOOKS for your reading.

- Fibonacci (2)
- Elliott Waves
- Commodity outlook research paper
- Forex Outlook research paper
- Advanced Candle Sticks

Just Find them on the Left hand side of the page under "Links for Free E-Book Downloads.

More books will be added  regularly.

Happy Trading

Probable Double Bottom Formation on EURO/USD NEXT-- ??

If you are looking at the Four Hour Chart as listed below, the EURO/USD pair may form a Double Bottom with Neckline located at 1.2670. As such , you must watch out when the price action is approaching this resistance.

The probability of this set up is quite high if the reversal trend continue its present momentum throughout  next week in correlation with  the Indicators...... ...Be Alert on this opportunity.

Happy Trading

HWGB -WB ----A PENNY STOCK LISTED IN BURSA KL EXCHANGE

HWGB’s principal activities are investment holding company and the provision of management services, manufacturing and trading of wires and cables, moulded power supply cord sets and cable assemblies for electrical and electronic devices and equipment, tin mining and  its related activities, producing magnesium ingots and supply for various metallurgical grade application. Also involved in travel agent and tour coaches charterer as well as provision of consultancy services to foreigners to reside in Malaysia.

HWGB placed out 78 million shares of its Hong Kong listed associate company CVM Minerals Limited at 36 cents (HK) per share in February.  HWGB used the proceeds to subscribe back the 78 million shares placed out via new issue of shares by CVM.  Even though HWGB still own the same number of shares after this exercise, its stake in CVM is cut to 35.71% from 41.25% previously.  As at 13th April, CVM’s market capitalization is about HK$790 million (RM326 million).

HWGB 35.71% stake in CVM is therefore valued at RM116.4 million, almost double the current HWGB market capitalization of RM62 million.

HWGB-WB

Warrant Price	:	RM0.070
Share Price	:	RM0.150
Exercise Price	:	RM0.200
Warrants Expiry Date	:	8/4/2015
Premium	:	80%
Gearing	:	2.1
Underlying Historical Volatility		55%
Warrant’s Implied Volatility	:	59%
Delta	:	0.72
Effective Gearing	:	1.5

HWGB-WB is trading at a premium of 80%. This is not low but considering that the share price of HWGB is down so much from when the rights issues was announced, such premium is warranted. The gearing of the warrant is about 2 times, which is not great but good enough for low price warrants.

The price chart for CVM HONG KONG IS :

  -----------------------The chart for  HWGB  is  as below:-

The HWGB-WB WERE ACTIVELY TRADED BETWEEN RM0.06-0.065  OVER THE PAST 3 WEEKS.

The management last Wednesday announced that by 2011 they can turn thiis company into a profitable Entity/ Enterprise with some direction in the Press Statements.

Their business model look very unique and probability of  ITS SUCCESS .IS  HIGH!!

Looking into its attractive low price for the WB of RM0.065 on the average, one may consider to 

BET for the eventual flying performance of this company like the good OLD Days.

Do remember that you have a long 5 years for its expiry. Note: The HWGB Old  Price  exceeded 

RM10.00 !, but imagine that NOW you may only just invest RM0.065-0.07 TO BET  for this Huge Return ?

A DREAM MAY COME TRUE !!

Weaker EURO in the Making ahead of the expected thin trades due to US long Weekend Holidays

TILL NOW, , the Euro has TRADED FLAT in Asian trade, with the market BEING JUST TRADED AT 1.2350 . Look to see some squaring up of positions into the month-end, and also look for more rumors, market chatter, official comments, and press reports to dominate the headlines. Our best recommendation over the next few sessions is to stand aside, and only look to get involved if absolutely necessary

There is still a large amount of fear and uncertainty surrounding the outlook for the global economy, and as such, we do not recommend looking to exit USD long positions, and would rather look to buy the Greenback on any dips against all of the other major currencies, including the Yen.

And, lest we become too caught up in the flippant and often short-term swings in investor sentiment; there was also a round of data for dollar traders to weigh in on as well. The second reading of US GDP does not carry the same volatility potential of the first go; but the more accurate details are important for establishing the reliability of projections. The headline reading was a disappointment – slowing to a 3.0 percent pace of annualized growth when it was expected to accelerate. On the other hand, with personal consumption still at a two year high, the data was still supportive. Sticking with the American consumer, April personal income and spending data is due for release tomorrow.

So again be cautious due to the expected THIN TRADES  ahead of the long Friday weekend with Memorial Holidays, Stay aside if possible.

Happy trading

AUD/USD, A POTENTIAL SET UP FOR LONG TRADE

 Keep a close watch on the price action which breaks the upper resistance trend line near 0.8500
(AUD/USD),then the next resistance shall  be 0.8650

But in view of the coming long US long Friday weekend and memorial holidays,I would not recommend you to have high exposure unless strictly necessary, ,, Light low trading positions or stay aside may be the best policy.

Overview of Euro prior to the US trade opening : Euros Gradual Rise...

The euro rose on Thursday, buoyed by short covering ahead of a long weekend and after Chinese officials denied a report that the country may be distancing itself from euro zone debt holdings. The euro first rebounded sharply after nearing last week's four-year low earlier in the day, gaining steam as bargain hunting in equity markets gave a broad lift to yen crosses.

It then extended gains after a government official told Reuters that China remains committed to its long-standing goal of diversifying its foreign exchange reserves. Separately, the head of China's $300 billion sovereign wealth fund, China Investment Corp, told Xinhua news agency in an interview that the Greek debt crisis would not have a big impact on China's overseas investments. 


The euro was trading up around 1 percent on the day at $1.2305. Traders said short-covering in thin conditions ahead of market holidays had exacerbated moves. "Singapore is on holiday tomorrow and some overseas markets will be closed on Monday, so this may be short-covering ahead of a long weekend," said a trader at a Japanese brokerage.

The euro's rise took it up from its intraday low of $1.2154 on trading platform EBS. The euro managed to hold above last week's four-year trough of $1.2143 as well as support near $1.2135, which is roughly a 50 percent retracement of its rally from a record trough near $0.8225 to its all-time peak of $1.6040. 


THE LAST FEW HOURS EURO/USD  chart is attached below :

HAPPY TRADING

A Pick on BJCORP, A Stock listed in Bursa KL Exchange

Bjcorp HAS BEEN  a hot stock over the past few weeks ranking as one of the top 10 active stock.

It will raise RM 500 M, via Right Issues (Loan Stock) to Finance the purchase 80% of the Ascot Sport Ltd which holds the NEW Football gambling license in Malaysia, The interesting fact is Both Bjcorp and Ascot (Pte Ltd) are OWNED by Mr VT.

We have to admire VT , his business capability is unmatched by anyone in the history of Malaysia Bursa Listing Company. He is an expert in Malaysian Share Trading which makes him one of the most successful businessman in Malaysia,

There are two possibilities to expect on this stock short term:--

1)  From Now , The share price is to be "MADE" higher up to  over RM 2.00, so that when the time comes for Right Issue, the subscription will be given a "discount" which will look attractive to Investors

2) Taking the recent weak market sentiments opportunity,, the stock may be  "pushed" down to the its Feb low at RM1.20,,  AFTER BEING ACCUMULATED TO A HUGE VOLUME, THEN LATER PROGRESSIVELY "moving" the price up to over RM2.00 prior to the Right issue announcement.(Gaining double benefits)

Note: Probability No. (2)  listed above looks more likely to happen !!!

Note: A cheaper means is via Bjcorp-CA,or Bjcorp-CB,, But both of these warrants are artificially manipulated by their respective Issuer, both carrying a very high Premium,   BE Cautious !!

So just watch out for this interesting GAME.  Riding on the Right Direction will be very rewarding !!

US Index Breakout and EURO/USD below 1.2000 IMMINENT ?

The US Index is now at 87.33, A break at resistance at 87,50 may induce a Breakout of the Index if the Euros is melting down below 1.2100.  If you cannot see the chart, please go to this site:
http://docs.google.com/leaf?id=0B74IMi--bRpKYTI0NjE3YzQtYjg1ZS00NDZlLWE
zYjAtZmU4OWM5MTgzN2E5&hl=en           (No space in between)

The News that CHINA may review her huge reserves in Euro Debt /Bond holdings  is ADDING  fires and Fuel to the Weakening Euros!! The first casualty is the DJ/ S&P' S  LAST WEAKENING CLOSING.

EURO/USD is on a Critical  Pendulum Swing, now   can be seen in the below chart.  If you cannot view the chart, pls go to this link:: http://twitpic.com/1rcu8z/full

As there is still no sign of Imminent Intervention from ECB, Technically, from here,now at 1.2170, The pair should head South and break the 1.2100 soon, then exposes 1.2000.

To all traders, just be cautious on the Sudden Intervention from ECB.,Just keep your protective Stop Tight and maintain your Trailing Stop just in case for any unforeseen circumstances.

Happy Trading

Getting Ready for the Advancement of Euro Crosses Amid Bearish Extremes??

In view of the relatively calmness shown on today Asean Markets, and last night positive/mild reversal on the US Equity markets, Added with additional  MEASURES going to be imposed into the Markets by Europe, with the possible joint US/EURO pact with the coming visit of GEITHNER to Europe today,  the atmosphere for Reversal of Euros crosses may be in the near horizon.

Just monitor and tracking the Technicals/other data/info, may help to hint  the right timing.

As traders, we must not use Crystal ball to make prediction, A Gambler will do it instead,., But we would rather base our judgement on Technicals, Fundamentals, Market Sentiments, Vix Index, Risk aversion Sentiments, Market Fear and Anxiety , including Political and Marco Economic of the major trading nations

JUST DO BE REMINDED, TECHNICALS AND FUNDAMENTALS ALL SHOW THAT EURO/USD IS  AT ITS BEARISH EXTREMES, ,IT MAY BREAK THE 1.2100, AND NEXT EXPOSES BELOW 1.2000 SHORT TERMS !!

Only basing on Technicals, The Ichi cloud bottom is now at 1.2365, so the up side should.be limited, and the Resistance at  around  1.2388 still holds. Wait for opportunity to sell high near the resistance at 1,2388 short terms. ***Warning:- --This is a purely Technicals, be cautious on impending Further Euro INTERVENTION measures which may change the OUTLOOK of the chart completely,   Keep your position and leverage Low with Protective Stops)   NOW IT IS TRADED AT 1.2280......



Will make new post on any solid Development,

Happy Trading

What is VIX Index ??

On LAST week, the Chicago Board Options Exchange Volatility Index .VIX, Wall Street's favorite yardstick of investor anxiety, rose 30 percent.

The measure of U.S. stock market volatility closed at 40.10 on Friday, down 12.43 percent, after rising as high as 48.20, the highest since March 10, 2009.

"Every bear market starts off as a correction so in this kind of environment, investors get anxious about whether this is just a correction or a start of the bear market. The unknown is what makes people uncomfortable, leading to bigger swings,

 The index could swing between mid-30s and high 40s THIS week.

The VIX is a 30-day risk forecast of stock market volatility. The index typically has an inverse relationship with the S&P benchmark as it tracks option prices that investors are willing to pay as a protection on the underlying stocks.

Below is the VIX  Chart on S & P 500

No Bear Market, But only A DIP for DJ / S &P 500

As I  mentioned earlier, do not yield to the urge to sell when the market is down in my earlier post.

To be a trader, we must keep our cool and at the same time to be some sort of Technical Analyst and Fundamentalist , of course, we cannot be compared to the recognized experts.but at  least we can apply some very basic concepts and theory. on the  Trading market.

The DJ close , if you see the below chart, the recent Plunge in the index is only  considered as a DIP,, even though it is already very much below the 200 D EMA. It is still no BEAR market on sight! The recent V  WAVE  on the 9868 level will likely  move from 1 towards 2 upwards the  10200 short terms.!!RSI is also supporting the positive bias.

I would only consider it a Bear market if the DJ goes below 9573 decisively for more than 3  trading days.
(8% from the PEAK of 11258,, or 20 % average Equity Price reduction on average)

Looking ahead, we shall see a gradual calming down both  the VIX index and  Fear.Factor  in the Market

Happy Trading

Head & Shoulder Formation on EURO/USD ON WEEKLY CHART

LOOKING AT THE ATTACHED WEEKLY CHART ON   EURO/USD, you can see that a head and shoulder formation is being formulated, with a neckline located around 1.2360, Then you should expect the breaking towards the critical level 1.2000, 1.1500 is really not too far away !!


BE ALERT  AND MAKE FULL USE OF THIS OPPORTUNITY !!

Crude is Heading to 60/bbl ??

Due to the  heavy sell down ON  all major Equity Markets below the 200 EMA, (FTSE, S & P 500, DAX, HSI, NIKKE),  FEARING FOR THE POSSIBLE PROLONGED RECESSION,  The Crude is on a Heavy SELL down  today breaking the Critical 67.50 level.. If you see the Chart, below, breaking below 67 decisively will expose  60 .

Just be patient to wait for the decisive breaking below the 67 level.

Sell down on Euros

1)  EURO/USD

BEARISH EXTREME, It may test the recent low at 1.2143 again,  breaking below will expose 1.2000..
But be aware and be cautious that ECB may come into  the market  to intervene any moment when the price action is near the Critical level at 1.2000

Right now this pair is traded at 1.2198, Indicators=Bearish


2) EURO/JPY

PANIC SELLING SEND THE PAIR TO A NEW LOW OF 2010, Now JUST  BREAKING THE  109 minutes ago, , NOW  WE EXPECT TO SEE  107  next !!

Be cautious and do watch out  for any Interventions from Both ECB and  BOJ  anytime. from this moment.

Further Selling Down on Asian Stocks/Indices as Korean War imminent?

North Korea has  just ordered  her troops /army to get ready for War with South Korean Allies.

This is a very bad news which will further add pressure on the already Volatile World's Equity / Forex Markets.

Continue to keep a close watch on this unwelcome news!  Pressure on  all currencies vs the USD in the FX  is now developing..  Be alert !!

Resist the Urge to sell LOW

If you’ve got money in the stock market, take a deep breath: It’s one of those moments. The market is lurching, and that is precisely when impulsive behaviour can hurt the most.

Investing can be a delightful pastime when stocks are rising. When they are falling — which has often been the case lately — it can be excruciating. But hasty decisions taken at anxious moments can be extremely costly.

“When a lot of people reach their threshold of pain, they sell their stocks and try to move to more secure holdings — cash, bonds, treasuries,Gold,silver,...  But  these decisions don’t work out very well for most people...


There are two other “scenarios” are possible, but much LESS LIKELY.. One is a global meltdown, with the Greek crisis morphing into “Lehman II”, the probability of which has been reduced by prompt action by European authorities.  And the other is a quick resumption of the roaring bull market that took the S&P 500 up 80%, or the moving up of FKLI  above 1600 , OR the HSI  above 2600, , But there are too many problems for that to be very likely in the next month or two, or even three.

For long-term diversified investors, , it probably makes sense to ride out the storm, and, maybe, add to your holdings. “Keep your shoulder harness on, and your seatbelt secured, and your life should be OK,” ..

EURO/USD Trade SET UP for Today

Special  Trade Set up For Today(Right Now), now at 1.2370/1.2380(US  Pacific 03:34,; GMT 10:34 Mon,, Singapore/Beijing/ KL 18:34 ,Mon)

BUY NOW at  1.2370-1.2385

Stop Loss   at    1.2320

Target       at     1.2550

Additional Info.

Tenkan-Sen level               :1.2524
Kijun-Sen level                 :1.2571
Ichimoku cloud top              :1.2487
Ichimoku cloud bottom          :1.2371

Please see the Technical Analysis on the attached  Graph:-

The said support at 1.2471 on last Friday,,against the last week high at 1.2673, measured from 1.2598, and the further consolidation shall bring it near 1.2385 ,(A retracement from mid of both ,, measured  from 1,2598)

1.2320 is the the level (61.8% retracement of 1.2143 t0 1.2673) to abort the trade.(Note :1.2143 is the recent low)

Happy Trading

Bursa KLCI,, will it drop to below 200D EMA at 1260 NEAR TERMS ??

Bursa KLCI  dropped to its intraday low at 1280.6, then closed just above 1285.7 on Friday. Stochastic is below 15, and the RSI stays  below 30, added with  MACD  in the negative zone,,Further more, the Bolligear Band has opened up additional 44% gap, ,  Now the KLCI  has drifted BELOW  the 100D EMA,, AND ALSO VERY CLOSE TO THE CRITICAL 200D EMA (at 1265), ,and FURTHER aggravated by the sign of increased trading volume, ALL these combined technical info/data are pointing to a very Negative/ BEARISH trend  for near term/ mid terms.

DJ (US)has managed to post a recovery of almost 1.2% (+125), and the IMPROVED SENTIMENTS /mild weakness on  Europe/ FTSE /DAX(-0.2%),  fueled  wth  more stabilised Forex markets on Friday Close , I believe that the CHANCE  of  KLCI being forced down to below its CRITICAL 200D EMA (1265)is NOT likely on coming Monday.next week , and probably the KLCI may be traded within the range 1260-1300 for some time in next few days,  -Wishing that no further major worsening  events being developed forward.

Overall picture is NOT very encouraging, and we have to wait and see the following developing events on Europe, US, China, Japan and UK .IN THE NEXT FEW  TRADING  DAYS.

WE must watch out the possibility of the KLCI  trespassing the Critical  200 D EMA  level if the European Debt problems/Fear cannot be subdued/ suppressed promptly, However, I still think that it is unlikely,THAT THE MARKET WILL SINK MUCH BELOW THE 200D EMA level, ,Foe example, ..The fear that the Euro might come undone and the European Union dissolved had always appeared to be a low probability to me, if not to others. The approval on Friday of the Greek bailout by Germany's Upper House of Parliament signaled once again that country's willingness to back the union and its currency for the foreseeable future., Secondly, it shall be  the passage of a financial reform bill for US.   AS SUCH ,I'm betting the nightmare is over and a week from now it will fade to bad dream status and a month from now it will have become simply another opportunity to buy on the dip. 

Be patient, EURO/USD IS STILL BEARISH IN LONG TERM !!

In general ,the price action of  EURO/USD is still  moving within the middle term Bearish trend lines, although there is a spike hitting at 1.2666(1 hour ago) but then it moved back to below the upper resistance trend line rather quickly. Please refer to the below chart.(Note: The mentioned spikes is not shown on the chart as it only appeared approx. 60 minutes thereafter,)(On the Masterscope 2.0 , 4H CHART)

I will only consider the trend to be Extremely  bullish when the price action decisively breaking the 1.3100  level which is the immediate critical resistance.

The Trading range should hover between 1.2500-1.2600, Being in a short term mild POSITIVE reversal basing on Indicators. Again in view of the unexpected intervention by Europe/ECB WHICH MAY BE IN THE MARKET ANYTIME OF THE DAY, it will made any assumptions /prediction worthless. However, price action above 1.2600 may expose 1.2800 as an acceptable Target limit for near short terms.

As traders we have to be very patient and not jumping into the Bull trap untimely and being injured. We may have to wait for the dust to settle down first and to confirm how effective is the  ECB Intervention on both the Forex and Equity market, even though Both European and US equity markets have indicated a strong reversal and well stabilised today(On Friday Close), ( both Equity markets with 0.2-1.0% average improvement recovery).

More EUROPE/ECB Intervention Measures may be announced, and their short term/middle term/long term effects have to be studied and digested.

So I will only  enter my  trades with Large Positions /High Leverage when a clear trend direction have been evolved  or at least slightly revealed, combining wth Both Technicals & Fundamentals..... . .So  I will relax now and have a weekend break and would be back to look at the Markets again next week

Forex Trading  has been very exciting this entire week, proving to be extremely challenging  and rewarding indeed., And we have CHF intervented by SNB, ;AUD intervented by RBA, Euros Intervented by ECB..,,GBP by BOE,. ,and JPY by BOJ.....,  so Forex Traders are now trading with MANY Central Banks which possess  almost unlimited resources,  But in fact they are sometime distributing Huge Chunk of money quite freely,  A  FOREX  SANTA  CLAUS  Everywhere ?!

This must be a record week  to have so many Central Banks TRADING  against/ together with Traders !! Never happen before in HISTORY !   FEAR...FEAR .. is the KEY words for SOME  OF  THE CENTRAL BANKS !

Happy Trading

JPY, NEXT SUBJECT TO BE WORRIED??

Just keep a close watch on JPY, some problems are  arising !!

Japanese Debt level is getting worst, its Rating  may be downgraded in the next few weeks,  if  Nothing /No drastic actions are taken from the Japan Central Bank(BOJ)/Government Regulators.

Do more research, study , and watch   Japan Closely in near terms !

I  will post some information in the weekend on this topic once it is ready .

Happy trading !

Further Healthy Reversal on EURO/USD and its Trade Set up

If you refer to my posts being posted earlier on 20,May,2010, 03:02 a.m.(Last no.Forth Post),entitled Technical Analysis on EURO/USD, , my subsequent  proposal to set up a BUY(Long) trade at 1.2440-1.2450, you then shall be NOW on course to get a profitable trade, Right Now the proposed resistance at 1.2520 has turned into support !!

Always keep your position light with lower leverage, with tight Stop loss and Trailing stop to protect your profits,As ALL the above proposed trades are very SHORT  TERMS and your maximum profit limits may only be around 100 pips only !!

The next resistance will be 1.2590-1.2600, This healthy Reversal shall be sustainable TECHNICALLY !

A break above 1.2600(The Upper TREND RESISTANCE LINE) may yield uncertainty and indecision, AND we must be cautious at this level, as it may either nose dive downward  or move up gradually with high volatility.!! Breaking the critical next resistance at 1.3100 will confirm Real /Strong Bullish Reversal ( PLEASE REFER TO THE CHART IN THE POSTS  ENTITLED " Technical Analysis on EURO/USD " around 1 day ago)

HAPPY  TRADING !!

DJ and S & P ARE AT TREND CHANNEL SUPPORT, NEXT MOVE IS CRITICAL !

DJ plunge 376 pts, closing at 10067., a massive raid today., and  S & P dropped  4 % TO 1071 !, Indicators showed Bearish extreme !

Now S & P (at 1071) is exactly sitting on the trend channel support, Next trading opening is extremely critical, Breaking the trend channel support exposes BELOW 1040,then to next support at 1000, the near term future is looking very ugly indeed.

Please click on this site if you cannot see the attached image/graph: http://twitpic.com/1ph0tc

Full Exit on AUD/USD TRADES--- Major Interventions from RBA ??

Major intervention is in progress.

Please close all Shorts Trade on AUD/USD right now.

Amajor reversal is on the cards

AUD/USD,.... The shorted pair has just yielded +155 pips !!

Traders who have Sold(Shorted) the pair has just collected a profits of over 155 pips for the hardly  1 hour. trading duration.

Do you think it is Fantastic !!

Please do refer to my previous posts(Few Hours Ago) on the AUD/USD trading for more information and  Technical analysis.

Do make sure that your trailing Stop is working just in case RBA comes to the  Rescue of the AUD anytime !!
Taking partial profit first and cut down your position now. Make sure tighter Stop Loss is working .in your trading,

From the way the direction pointing, I do predict that,,  basing on the strong downward momentum,and extreme Bearish mood , agreeing with all Indicators results, the 0.8000 psychological level will be broken down to pieces in the next few hours of trading sessions. Just be  aware that RBA may come in to defend her AUD anytime NOW .... BE CAUTIOUS ,,,


HAPPY TRADING  & DO  ENJOY YOUR LIFE !!

Severe Damage on the AUD/ USD, Any rescue Action ?Traders ACT NOW !

The Free fall looks to continue very quickly towards the 0.7800 level unless the Central Bank of Aussie(RBA) Stands  up now to defend it !

After RBA has hinted to halt any Interest adjustment in the near future, then it makes the AUD more easily exposed to the weakening effect of Both GBP and Euros, coupled with China Financial tightening measures WHICH MAY AFFECT HER MINERAL EXPORTS,, added with potential plunging of Gold prices, .......All the  combined effects result in the Downfall of  AUD.

Please do refer to my previous posts only FEW hours ago on   AUD/USD

NOW PRESENT PRICE  :0.8290
Resistance  : 0.8300 , 0.8400, 0.8500
Support  :  0.8220, ,0.8170, 0.8000

Please do note that AUD WILL BE OUT OF  THE DATA  CONNECTIONS  IN THE  NEXT  24-48 HOURS, so it is really up to your IMAGINATION what are to be happening to the AUD ?? Unless RBA will execute some drastic measures now, otherwise, it is up to the nature runs its course !!


All traders are reminded to fully exploit this Golden Opportunity.!!

Technical Analysis on EURO/USD

Looking at the attached chart, we see that if the price action topping near the 1.2440-1.2460, then it may expose 1.2520 , then next 1.2620.(Note that 1.2440-1.2450 is also a previous swing level)

In view of the sign for the probable ECB support for the Euro is imminent, it now shows a very short term bullish trend, depending  how much support the EURO is getting.

If the price action below 1.2240-1.2260, then it may expose 1.2120 as immediate target

5 UNCOMMON RULES FOR WEALTHY TRADERS- By Tim Bourquin

"In fact, I'd bet that deep down you know you should be following these rules as well but you aren't - yet. Today is the day you can commit to doing what works for other wealthy traders and get on that same path.
Let's get started.
1. They plan every single trade. EVERY SINGLE ONE.
Every trader I've talked with that makes money consistently knows the following about every single trade they take before they even begin entering a limit order into their trading platform:
a) the highest price they are willing to pay (if they are going long) or the lowest price at which they are willing to sell (if they are going short)
b) their profit target where they will exit if they are "right"
c) their stop loss where they will exit if they are "wrong"
d) the risk/reward ratio of the trade
e) the exact percentage of their account they are risking
Lots of traders do one or two of these things. Few do all of them. In simple terms they know exactly what they want to pay, how much money they anticipate making (or losing) and a very clear idea on the probability of the trade working out.
Although you might think that every great trader uses hard stops that are pre-programmed in, many don't . However, they are highly disciplined and when their stop loss number comes up they are out. Most traders don't have that type of hard-core discipline and so a hard stop loss is still their best option.
2. They stopped trying to pick tops and bottoms years ago
Nearly all of the classes, courses and webinars you'll find on the Internet talk about using support and resistance of some type to find where a market is turning and how to get in before or while it does.
The funny thing is that only a very few successful traders I have ever talked to trade that way. Simply put, 95% of the traders out there that make money are buying higher highs and selling lower lows. They do the exact opposite of nearly everyone out there because they found out long ago that picking tops and bottoms is a sucker's bet. One trader described it to me by saying that it's much easier to just participate in what a market is already doing than trying to guess when that behavior will change. Flip-flop your strategy to agree with what the market is doing rather than guessing on when it will change its mind, and you'll be in a much better position to make money trading.
3. They are patient with winners - and ridiculously impatient with losers.
Dennis Gartman is famous for boiling down great trading to one thing: "Do more of what is working and less of what isn't." Sure makes a lot of sense to me.Most traders have a great deal of patience with their losers but get nervous about locking in gains and sell them to quickly - the exact opposite of what wealthy traders do. Wealthy traders realize that they may actually have more losing trades than winning trades so they quickly get out when they are wrong. It is the only way to ensure that they can give their winners the attention they deserve.
They coddle their winners and kick their losers to the curb without a second thought.
4. They trade one market. ONE
I've talked with great traders who can trade futures, forex and stocks at the same time. They are a gifted tiny minority.
The vast majority of successful traders concentrate on one market and become so comfortable with it that they begin to "know" the behavior of that market just watching price and volume. Test yourself - if you aren't able to get rid of all your charts and simply look at price and volume to trade, you're probably not concentrating enough on one market in order to know its moods. What we're really talking about here, of course, is not the mood of the market itself but the moods of the market participants!
Focus on trading one market exceptionally well rather than try to trade whatever's hot - that's how wealthy traders do it.
5. Their benchmark for success is anything but money
Money changes everything. It sure does. We're all in this to make money. The trouble is, when traders use the amount of money they make to judge their own success, something happens to them - to all of us, really - that clouds our decision-making ability.
Wealthy traders have realized this and instead focus on other things to determine if they've had a successful day. Whether it be how well they were able to execute on their trading plan (see rule #1), or their overall ability to predict short-term movements in whatever they are trading, they know that if they do those things correctly, the money will follow.
Yes of course the money is important. Any trader who says otherwise is a fool. Why else would we put ourselves through this daily ride. But there is something about making it a secondary focus that allows the best traders to make better decisions. The growing trading account simply becomes a nice result - a side benefit if you will - of making good decisions and reading the market well."---UNQUOTE

HAPPY READING !

Requote on the Articles written by Gary Kaltbaum "Market will Stop them"

This is a Article written by Gary, A Financial experts, so I would like to share IT with you :--

"IF THEY DON'T STOP, EVENTUALLY THE MARKETS WILL MAKE THEM STOP!" This is a quote I have lived by for more than a couple of years. The meaning of the quote is simple. If governments around the world do not stop their outrageous spending leading to outrageous deficits, the markets will eventually stop them.
The markets stopped Bear Stearns, Lehman, Washington Mutual, Wachovia and Merrill Lynch...and almost stopped Citigroup and Bank of America. The markets are now working on countries, not just financial companies. I don't need to tell you which countries. They are all in the news. They are mostly countries where one group of people believes they are entitled to other people's money. Unfortunately, we are now seeing it in the good old USA as over 40% of wage earners do not pay taxes and now we have an administration and leadership that is determined to redistribute as much wealth as possible, while spending this country into oblivion.
This is a clear lack of respect for taxpayer dollars by politicians, who for the most part, have never run a lemonade stand. They can fool the voters but they cannot fool the markets. Eventually the markets will fight back and that is exactly what we are seeing right now.
Simply put, over the past couple of weeks, markets around the world have come under severe distribution. I do not believe the 1000 point day was real. I believe it was a huge bad trade...but that was resolved quickly. What has not been resolved is a market that for the most part has put in an important top. Very simply, the market's technicals have been deteriorating quickly...and that's in spite of last Monday's 400 point gap to the upside.
For me, I think the probabilities are decently strong that the recent highs could be the highs of the cycle. The deterioration has been sudden and been strong...too much to ignore. Most sectors have topped. Most countries have topped...especially Hong Kong, China, Japan, the UK...and of course, Greece.
I can pretty much go on and on about all the sectors that have topped...all the stocks that have topped...and recently, the many leaders that have topped. The main point I want to make is that I do not think the action we are seeing is just a "reaction" to the news out of Europe...and will end quickly as so many are saying.
The only area that is actually emerging and showing relative strength here is GOLD/SILVER...and that's probably not a good thing. It is the market yelling that using more debt to fix a debt problem ain't going to work. Near term, the action is insane. We can bounce...we can go lower...but I am not worrying about the near term here.
Amazingly, governments around the world refuse to learn any lessons about balancing their checkbooks and think they can just spend their way out of trouble. It just doesn't work that way. And while I have been away, I still kept in touch with what the politicos have been saying...and still see nothing on the horizon that tells me they get it. In fact, the one person that does get it, Governor Chris Christie of New Jersey, continues to be blasted by those that think the taxpayer is an unlimited well of money to be handed over to them."--UNQUOTE

HAPPY READING !

EURO/USD, Please get ready to go Long(Buy), it may be intervented !!

Now the pair is still on mild reversal, trading near 1.2400.  There are signs  that ECB /Euro central banks are getting ready to support the Euros, Once the pair is pushed beyond the 1.2440-1.2450,  then  you can Buy (Long) the pair without any delay.

Do keep your position smaller,with lower leverage, and probable Stop loss Guard, as it may be a very choppy and volatile Trading sessions especially on this particular currency pair.

Asia Trading session, 14:56,  20-may-2010(Singapore/Malaysia,Beijing)

Reminder,! Have you entered your position on AUD/USD --Bearish Extreme

As I have highlighted on the Declining AUD/USD, it is now heading South in a very much higher speed and momentum , looking like a Free Fall towards  0.7700 ??

This may be a Golden Opportunity NOT to be Missed.

Asia session (14:24, Beijing/Singapore, 20.May.2010)

AUD/USD is still undergoing severe Damage, Heading to 0.7800 ??

The AUD could not hold onto the Technical support at 0.8585 (Sept2009 and Feb 2010 LOW), If AUD/USD fails to climb back above this critical in the next 1-2 days, then the risk of its coming down towards the 0.7800 is imminent.

The decline is also aggravated by traders dumping the Aud due to its RBA hinting to tighten her Banking policy, with the additional unwinding on the CARRY TRADES especially on the Commodity currency,,and Actually Aussie falls victims to its own success of higher yields.

Traders should watch its development closely and looking for New opportunity to Sell Down the Aussies further.

Watch out! Intervention from ECB to defend Euro slide is imminent ?

The Swiss National Bank has just involved herself to cause a change of CHF /USD WITH +300 pips .

With Europe 1 Trillion USD ,Plus purchasing of Both Gov/Private Bonds by Central banks, and Germany Banning of Short selling,, HAVE ALL failed to tame and calm down the market Fear, ,, with no end on sight on the severe sliding of Euros vs USD/jpy/Asian Currency, IT is thus that coordinated central bank intervention to support the single currency is inevitable. Such action will unlikely reverse the euro's slide, but may help resurrect a 2-way market in the currency and slow down the damage.

So I expect the mild reversal on the EURO/USD WILL continue towards the 1.2500. As the Severe selling down the Euros has been calming down WITH DIMINISHING TRADING VOLUME.

Congratulation, you may HAVE 150 pips over the last EURO/USD setup

Congratulations !!

If any one of you follow my latest trade setup on EURO/USD, then it should have closed and you would gain a 150 pips intra day(less than 12 hours of trading !)

The price action is now around 1.2315, just slightly above our proposed limit at 1.2300. NEXT IMMEDIATE resistance will be 1.2350, breaking it will expose 1.2500. ....

So, just relax, and look for next opportunity .

Happy trading

Triple Top for Silver, heading south towards 12.0 ??

1.0) Following the Bearish trend for Gold, The silver has showed a Triple Tops, so Technically, it may head South towards the 12.0 level?

So , be positioning  yourself  now well for this trading opportunity.

Can Gold sustain above 1200 level ??

1) Gold is predicted to go below the 1210 , in view of the fact that Gold above 1200 is considered very expensive even though it is deemed to be a safe haven asset. But comparing the relatively  good yield on the USD currency-related  Trading, and the relative weakness on both Equity and other commodities, it is thus logically assumed that  Traders will dump Gold and switch their positions.  The price action below 1210 will send the gold towards the 1100 level.

I have therefore  executed  my above comments with respective Trading Actions immediately.

Will crude break the 60 level soon??

1)As confidence on the recovery being tanked especially Europe, coupled with embattled Euros, with the relative strengthening of USD, The subsequence price action breaking below 65/66 will drift the Crude towards below 60 level very quickly.

So Traders be  alert on your positioning !

EUROS/USD where will be LOWEST:? plus a Trade Set-Up EURO/USD

1)
/
1) The above Monthly Chart will indicate the probable support level for EURO/USD at 1.2143 and 1.1217,Below that it would be heading South towards  no man Island !!


2.0) But I personally think that the Selling down of Euro IS overdone.! A significant and meaningful reversal shall be in the horizon soon.  Traders must look for opportunity to enter positions right now !!

The announcement that a German regulatory body would ban naked short selling and credit default swaps on government debt – removing an avenue of flexibility in hedging ,, --- THIS  may be resulting in a strong reversal on EURO/USD !!


2) Proposed Trade Setup for EURO/USD


Entry    :     1.2150
Action  : Buy/ Long
Stop Loss:  1.2090
Target  :     1.2300
Trailing Stop : Yes
Position Wt. --Keep Light and small--


Happy Trading

EURO/USD and GBP/USD Trading to be calm and stabilised ?

The trading on Both the EUROS/USD and GBP/USD  are rather Calm and the envisaged Mild reversal has also been executed gradually. Technically, it looks like a temporary Bottom or  an INFLECTION Curve is being created.

Now it is quite difficult to predict where the Market will move from this point of time, as INDECISION forms the view of most Traders'  consensus.

Technically, in middle terms Both the EURO/USD and GBP/USD are still extremely Bearish. There are not many  positive developments/News  in the next few days to drive the market (UP /or Down)

For the time being, I would prefer to stay aside( for short terms) , and will be back once the Immediate Direction of the Market is Clear. as I will remain always  a Short terms Forex Traders, and not traders for long terms profits.

Taking profit on Gold and Crude Future NOW

The safe heaven games are unwound.

Take all your profits for the Crude(Up now, above 72.50) and Gold(down 0.5% now) Tradings and /or thin down /reduce exposure your positions right now

Mild Reversal is in Progress for EURO/USD and GBP/USD

There is a mild reversal for Both EURO/USD and  GBP/USD Pair.

Euro/Usd is now traded at 1.2310-1.2320 ; Whereas GBP/USD is now traded near 1.4430,  Please keep a close watch this Reversal, you may Enter Now,  Both on BUY(LONG) with close Stop Loss and Trailing Stop.

There is also a mild reversal on Equity/Stock on Europe open, with approx. 1 % improvement on Average now.

These currency pairs' Reversal may last for sometimes and may be quite significant in view of the severe OVERSOLD status after a two-week sell off., Be prepared for the expected High Volatility.

Crude oil IS TRADED below 70,, and Gold above 1240 ??

In view of the fear in the weakness of the  world future economy and instability of the Euros Union, The Crude oil has been subjected to severe SELL Down by traders. It was  just traded below USD 70,  ten  minutes ago.

Similarly, Traders are looking for relatively SAFE  commodity such as Gold and Silver, and Gold has just been raised to above USD1240, HEADING  towards the psychological Resistance level at 1350, an all time High  level.!!

The Crude oil may drift down below 60  in short terms,,  and the Gold shall cross the 1300 level soon, basing on both the Technical Analysis and the Bearish sentiments in the Stocks/Stock indices Futures in both Europe/ Asia/US.

The pressure remains High on both EURO and GBP against USD

As stocks and stock Futures/Indices continue declining,, Both the EUROS and GBP  are under severe PRESSURE.  But both USD and JPY shall be strong against all currency crosses in the process of the Investors looking for safe heavens, Risk aversion and carry trade clearance.

Even though the weakness of both the EUROS and GBP persist in the Middle terms, , But we must be cautious that right now ALL  Technical indicators  are pointing towards extreme Oversold zone due to drastic selling off over the last two weeks.

So all Traders must be alert and keep your exposure low and small while you are still in the  Short sell positions for the above currency pairs.Do always have a calculated and affordable Stop loss with Trailing Stop to MAXIMISE  your profits.

The next strong support for the EURO/USD  is  1.2000, , drifting below this level may lead us to a no man island !!
Similarly, the next support for the GBP/USD  is 1.4000, which is an extremely important psychological level !

Happy  and enjoy your Forex Trading !!

FREE Trading E-Books for Downloading

Dear Traders,

I have just added a few Trading E-Books for your reading. Just  click on the Book links on the LEFT  Hand side Display Section for your selection.

More E-Books will be added regularly.

Another LIST  of my very Own Trading E- Books will be listed soon. Both Free and Pre-Paid Books will be presented for your selection.

Closing positions on all EURO/USD AND GBP/USD trades

I have just closed ALL my remaining Short positions on EURO/USD and GBP/USD  Trades,, Including All the Shorts on USD/JPY AND EURO/JPY  trades.(Now  the best time to collect Max Profits)

The major reversals may be on the way, it has reached the SENTIMENTS EXTREME! Furthermore, today is Friday, we should not have OPEN Positions THROUGH the long weekend !

Come back next Monday for another round of INTERESTING AND REWARDING TRADING !!

Happy Trading

EURO/USD , below 1.2400 !! Beware , Potential Reversal signal given out by SSI position

Now The pair EURO/USD has  JUST traded below  1.2367,, near my next immediate Target  of 1.2350, matching the NOV,2008 low.. The 15 min. SSI chart LONG position IS  now RAPIDLY  diminishing,

You are advised to be cautious and take your PROFITS as much as possible now, and cut down your position IMMEDIATELY. or YOU MAY DECIDE TO CLEAR ALL YOUR POSITIONS  and to continue NEXT WEEK? I suggest that you give yourself a short break and have a nice REST Day, even though it is still in the EARLIER  MORNING !!

The reversal(re-bouncing may be a substantial one), considering the FIBO level, it may even break the level at 1.2900 !?

Happy Trading and God Bless !.

GBP/USD just crosses below the psychological level at 1.4500

Watch out ! The GBP/USD has just drifted below the 1.4500 psychological bar.Oh !! It is very bearish Technically indeed !(Just two minutes ago)

. As predicted over the last one week, Right now the pair may be free Falling till the next important support level at 1.4000 ! Traders please be cautious, due to its excessive Sell down and severe Oversold position, the pair may go for a mild reversal soon.

Do keep your position lighter and lower, using tight Trailing Stop to maximise and protect your profits !TAKE SOME PROFIT RIGHT NOW, AND LET THE REMAINING TRADES RUN WITH THE BEARISH TREND !!

Happy Trading

EURO/USD now is Below 1.2500, what is next !!

The Euro/ Usd has just drifted below 1.2500 five minutes ago as envisaged. Further Freefall may continue as there is no sign of rebounce in the horizon. Next strong support is 1.2000. However, in view of the severe oversold status with Daily chart now shows RSI=25,and Stochastic below 10, we must be alert on the possibility of mild reversal soon, also in view of the prolonged major Sell Down.

My next target is 1,2350. Keep your position less & Light  , instill tighter Trailing  Stop  to protect your profit gains.

Happy Trading

Profit Taking on both EURO/USD & GBP/USD Short

Even though Both EURO/USD & GBP/USD  are still in Bearish Down Zones, I have decided to reduce my large positions by half (Taking out 50% of the Profitable trades) and  reduce both of my remaining Trades'  Stop-Loss  Level at only 50 pips above the Present trading level with Trailing Stop. in order to protect my profit to the Maximum.( Real Time Right Now)

Reason for doing so is Simple,... Take the Maximum Profits with Minimum Risk !! Reduce exposure or Position after a Prolonged or Excessive Sell Down !!

I predict that Both pair above are still heading SOUTH in severe Bearish  Downtrend , agreed and being in-line  with both traders' sentiments /fundamental / and Technical Indicators,

Happy Trading and Good Luck !

Both EURO/USD & GBP/USD in Extreme downward PRESSURE

1) EURO/USD
  This pair has just touched its low at 1.2539 approx. 65 minutes ago.. As predicted Four days earlier, It should hit below the 1.2500 psychological level which may be a very strong support Bar,. Falling below will expose 1.2000 ...  However,  my immediate Target is1.2500 , Right now it is traded at 1.2580. This pair is still in the severe Bearish zone.

2) GBP/USD
 The pair has just crossed the 1.4674 approx. 15 Minutes ago., As predicted  4 days earlier, its Bearish trend shall  continue, and it will NOW be heading SOUTH towards the psychological level at 1.4500. My Immediate Target is 1.4500. Right now it is at 1.4691.  Bearish.. Bearish.. is the KEY-WORDS NOW.

So wishing ALL Traders Happy Trading, and do take  your profits for Holidays shortly. . I think the past two weeks Forex trading are Interesting and very Rewarding indeed for ALL OF YOU !! Good Luck  & God Bless !

Football Gambling Permit for Bjcorp Group , another "VT "WindFall in Bursa?

Yesterday it was announced that Bjcorp will issue Loan Stock(Right issue) of RM615M to finance the purchase of (70%) of "VT" very own Ascot Pte. Ltd. which hold a permit for football gambling  in Malaysia for a cash consideration of RM 500 M, . The loan stock will carry 8% interest per annum. "VT" is the major shareholder of Bj Group of company.

So "VT" has just profited with RM500M prior to the launching of the gambling business, and still holding the remaining 30% of the Ascot company. It is really a fantastic achievement(Windfall) in Bursa KL Listing.

The analysts have forecast that  it may only bring 2--5% of additional profit to the Bjgroup, in view of the higher Tax and larger pay-out % structures in this new  gambling games.

Whereas the associated gambling company BJ-TOTO may not benefit much as it will only act as a middle agents for the gambling activities.

So Traders and Investors , you make your very own decision on the above company stocks.