Dean is looking to play the USDCAD from the short side this morning. He is also looking at the AUDUSD from a long perspective and both these FX pairs are at big support and resistance levels. There is the risk that no deal happens within OPEC so the USDCAD Forex pair could be exposed to […]
Month: October 2016
After the FOMC meeting last month, this week’s US GDP data took a leading role in trying to plot where the next big move was going to come. As the market spent most of the week jockeying for position it seemed that the Dollar was pricing in an impressive number as it forged stronger against […]
Dean’s Daily FX Update – 28 October 2016 In the Zone AUDUSD USDCAD Noteworthy News Nissan confirmed that they will be building the Qashqai and X-Trail in Britain for the foreseeable future. This is a major coup for the British Automobile industry and will aid in adding jobs, I would expect to see some […]
Dean’s Daily FX Update – 27 October 2016 In the Zone USDCAD USDJPY Noteworthy News Under the circumstances, Finance Minister Gordhan delivered a fairly solid Mid Term Budget Speech. It was largely well received with most parties seeming to be content, the only disappointed party was the EFF (no surprise there). It is […]
Dean’s Daily FX Update – 26 October 2016 In the Zone AUDUSD USDCAD USDCHF USDJPY Noteworthy News As if there was not enough tension around the current political landscape in South Africa, and in particular today’s Mid Term Budget Speech. Protesting students in the #FeesMustFall Campaign (remember them?) plan to protest at Parliament during […]
The CCI was initially developed for the commodity markets but is widely used by FX and equity traders too. It measures the variation from the average and is similar to the RSI and Stochastics. It indicates a reversal of the trend.
Envelopes are based on a simple moving average. It uses a deviation to show an upper and lower trading band. When the market reaches the upper band, it indicates a short may be in play. The same applies to a long trade. An extremely useful tool.
Another indicator that can assist with determining the strength of a market move. The ADX is best used with a stochastic or RSI. Shows whether we have a weak or strong trend, not whether the market is overbought or oversold.
Often known as the “stop and reverse” indicator. It plots little dots above and below the price and helps identify a change in direction. Can also help with where to place stop losses.
The Relative Strength Index shows the magnitude of the recent price movements. The RSI shows the strength of the market move in one direction or the other.