RecapPersonally i did not get involved in any new setups last week, however out of posted setups last week at least one would be very much at the money at this point for the traders that got involved. With USD strength across the board bearish Cypher posted last week on GBP/USD pair is at least +100 pips in profit. EUR/USD 3 drives got completed @1.385's level as well, however the area where this pair found at least temporary resistance was much higher @1.39's. Traders with wider stops would be still in that trade, however fundamental and technical views are lining up at the moment stating very limited potential to the downside for this pair at the moment. AUD/USD short position finally revealed last week. After hitting readjusted target 1, i got stopped out for break even. Overall this trade anticipated much more profit initially, hovewer as it appeared later on, short side of this trade got overcrowded that gave opportunity for big players to run stops up to 0.913's levels. As it stands now the pair went south again as originally anticipated.
There are no setups in terms in my watch list at the moment. Having said that it all can change as the week unfolds, so if you want to be up to date please subscribe to more intraweek analysis on the left.
At the times like this my main focus normally switches to options. For the traders that are new to options looking at implied volatility (IV) would be the first step in my book. Given the current market conditions across USD pairs having the spread of 200 pips setup makes a lot of sense. Another point is that weakness for GBP/USD pair seems somehow exaggerated in relation to other USD pairs, so perhaps buying cheap CALL early this week may be the way to go. Overall this is very different approach to trading that gives much more control over their positions for the traders who use it correctly.
This will sum up this week, have a good one traders!
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