Κυριακή 18 Νοεμβρίου 2012

MORE THOUGHTS ON MY OPEN USDJPY TRADE

Last week the pair tried to shook all the long players by giving them a fast down move. However as  i have said in my last update the pair close the week indicating that  the bull trend is not over . Indeed this was confirmed this week during which the pair has exploded and broke the 80.50 resistance due to main political developments .Next stop now  81.10 and then  84!! Below are my thoughts as events were unfolded last week

On 14/11/2012 - PM Noda has proposed  election if the opposition party  agrees to vote for the reforms .  This gave a boost to the pair  which startedrising and made a daily move  of allmost 100pips!!! It appears that a wave 3 starts which will shoot the currency above 83!None the less there is the  80.50 resistance still looming

15/11/2012 -  Finally the pair has taken the 80.50 resistance clearing the way  for 83 level . Although it has been driven by mainly  local events and political comments referering to prospective elections  it should be
noted that there is  risk aversion mode on the markets after Israel  kills Hamas military leader.


So here  we are at the end of this week and the pair has closed  at 81.29. Nonetheless it hasnt stopped to makes me wondering why this move has been initiated now? Many say that the fact that Japan is going to elections and the party which will probable win is a strong believer of more quantitative easing is one reason. Others say that is the political instability that makes people to sell the currency . If that is the case then why  is the Nikkei rising so strong?In the other hand we have  important geopolitical events in the middle east with Israel attacking hamas and killing their leader  which may  unfold to a big war in the area which is something that would be very bad for the global  stockmarkets. It is known so far that risk on mentality in the markets is positively corelated with the USDJPY pair (when markets rise so does the pair).

Overall, even though technically the rise has been excpected by me i still cant understand the fundamentals behind it(why now?) and i am troubled as to how far more the pair could climb in the near future .Of course, for the long term  i have been  very bear  for this pair and it has been also one of my two strategic trades that i have initiated in the beginning of the year (in addition to the trade i ahave also place a month a go which is more shorterm)

G14 OUTLOOK FOR THE WEEK 19 NOV - 25 NOV

The most important events in the economic calendar for the coming week are : 1) The announcement of  rates by the Bank of Japan on Monday , 2) The speach of RBA gov Stevens on Tusday , 3) The speach of Ben Bernanke also on Tusday, 4) German Ifo business climate on Friday. In addition we have a Eurogroup on Tusday where decision for Greece are expected to be made and  ongoing talks for the Fiscall cliff









EURUSD: The weekly is in a buy mode but with not a clear trend  . Daily in the other hand shows a strong downtrend. None the less indicators show that we may have a retracement up to 1.2850-1.29 area in the beginning of the week (events related) before a new strong downtrend resume. 

EURJPY:  Both weekly and daily  indicators shows a strong uptrend . With a a fair value around  101.70 the pair has a lot of upward potential . If it breaks  104.70 resistance then it will climb fast to 107 and then  110 area 

EURAUD: In weekly the pair is bear without though being able to give a sell signal yet . In the daily however the picture is very  different . Most of the indicators point down  and only a break of  1.2420 area would change the momentum dramatically and give a a strong buy signal

EURCHF: Strong down (again after a small break of a couple of months the idicators have turned red again)

USDCHF: Strong up by most of indicators . This pair is behaving exactly opposite of what eurusd does

GBPUSD : This pair is getting ready for a  bit fall propable to 1.51 level. Although it has a strong doward weekly wave momentum, the weekly up trend still remains intact. In the daily however is in a clear downtrend both trend and wave.

USDJPY: This pair is in a strong uptrend which probable will lead it to  84 and then 92 area

AUDUSD: The analysis in this pait give mixed results. It is slightly bear but it is better to wait . If it fades the fall and breaks 1.0460 it would be a strong buy !






Κυριακή 11 Νοεμβρίου 2012

UPDATE ON MY USDJPY OPEN TRADE

The USDJPY has a bad week due to risk aversion and the fall in equities.My trade is still active and even though the pair had a fall all the uptrend boundaries are intact and also the JPY crosses seems to hold. At the end of October  we had the BOJ announcing the QE measures for supporting the economy. Many tried to speculate on the currency, days before that the QE announcement would be much higher than excpected and this probable had serious effect on the early rise of the pair.

However , after the announcement the pair fall .Nonetheless, the fact that is still holding is also the rise in US treasury yields. This makes me to come to the conclusion that the main factor which moves this pair is US bond yileds and this should be taken under great account.
 


G14 OUTLOOK FOR THE WEEK 12 NOV - 18 NOV


Κυριακή 4 Νοεμβρίου 2012

G14 OUTLOOK FOR THE WEEK 04 NOV - 09 NOV




END OF OCTOBER P/L REPORT [ 0 PIPS] - 1 ACTIVE TRADE STILL WORKING

This month I took only  one trade  (long USDJPY )which is still active.

Below is a graph of how i have done since the beginning of the year. I still have open  my longs in EURCHF and USDJPY.


 Below is my blotter since the beginning of the year









    LOT PRICE S/L T/P EXIT PRICE PIPS
EURCHF LONG 0,5 1,208 1,199   WORKING  
EURJPY LONG 0,1 100,68 99,2 103,2 103,2 252
EURJPY LONG 0,1 100,2 99,2 102,1 102,1 190
EURAUD LONG 0,1 1,237 1,229 1,245 1,229 -80
EURAUD LONG 0,1 1,23 1,212 1,255 1,255 150
USDJPY LONG 0,1 79,54 75,4 90 WORKING  
USDCHF LONG 0,1 91,6 90,5 93 93 140
EURAUD LONG 0,1 1,244 1,225 1,2795 1,2795 355
EURJPY LONG 0,1 106,22 105   105 -122
USDJPY LONG 0,1 80 78 84 78 -200
EURUSD LONG 0,1 1,2405 1,22 1,265 1,269 285
USDJPY LONG 0,1 78,95 77,5 83 WORKING