Well, its been a while I have not written or even trade much. Well, look no further lets start next week a fresh start to all of you out there. Because the market has turned to Bull. The USD may be on a pull back after a prolong rally ( bull trend ) for a period of time. It will bull back and resume its strength after visiting Demand.
Lets look at the daily chart on the Dollar index.
So this week was its final move towards supply and drop. Giving most majors on the bull run. The next Demand on the Dollar index is at 80.77 – 80.30 . That’s where the trend will change again.
So something to think of for next week trade. SO I want to be a Buyer on most major pairs with the USD next week. USD might even get a repeated bad economic data at the same time. This gives us some edge the remaining week for march.
Selling the USD will be my theme until the time comes when we arrive at demand on the dollar.
Lets look one of my favorite pair the EURO- DOLLAR.
As we can see that the price went very deep into the demand. And bounce off sharply on Friday to finish off those remaining sellers out there. The fact that we are out of the demand of the weekly, We will be buyers looking for demand on the smaller time frame.
Let see what happen last week Daily chart .
A level on top of level. The first demand there had absorb most of the sellers while the remaining had to endure pain of being stopped out. We got our self some supply around and above 1.3300 and 1.3350 ish on the red arrows. It will take a longer time for that to happen so might as well be a buyer along the way. Buy for any weakness or dip.
Im looking into the smaller time frame the 30 min. I spot 2 demand level, one being the hgih probability point of origin and 2ndly the Drop Base Rally.
So if Next week the price decide to do some pull back from the current price, I would love to joy ride this for a long trade towards supply at 1.3280 and 1.3345.
So I think that’s the best place to enter it seems and I am willing to trade those price level. Why ? Because that’s an institutional order and it has not filled up because the price went up so quickly. So a pull back means that the order wants to get filled, simply to say its coming back for those unfilled orders.
All we need now is a trader who made that mistake that sells into Demand . I am assuming that traders who got lost selling must be trying to get it back and also definitely made that mistake in trading to feed my self because I am that buyer on the other side of their trade.
Happy trading everyone!!