By David Ruscelli
PRICE ACTION FOREX
Welcome again to our Forex Strategico evening , where we will talk about trading with price action. I am proud to announce that we have many new projects coming nicely along: our staff is considerably growing and in the coming weeks we will be offering NEW FREE SERVICES, therefore I would strongly suggest that you subscribe to our newsletter, to receive all updates and not missing out in any of the free offers, of course YOU WILL NOT RECEIVE ANY SPAM OR ADVERTISEMENTS. The purpose? To increase our audience and elevate our site to be a point of reference for more traders in Italy and around the world.
As forecasted yesterday, the cash rate remained unchanged at 3%, avoiding high volatility. Yesterday, in this same article, we analyzed together a trade against trend, a few hours later the price went in our direction and I immediately brought home 1/3 of the trade, and updated the balance by raising the stop loss by 40%, reducing the possibility of loss. Today during day time hours, a rise was shown, so I took the opportunity to move the stop loss just above BE (Break Even). So from now on we are still in profit, if it goes wrong we have lost nothing, if it goes well we will just put it in our pockets and thank the market :-). I usually do not follow the transaction with such haste, but in this specific scenario there were elements that could have also suggested a possible trap (a false signal of price action) so I chose to closely monitor the transaction to faster bring down the risk to zero. This is a clean, organized and professional way to operate, in accordance with non-directional’s suggestions.
I followed this transaction in a more conservative manner, particularly since we are basing our assumptions against trending, the 4 hours was and is very bearish and does not support any kind of bullish cue within its time frame, in fact it “coincidentally” stopped right above a nice downtrend.
Lets take a look at the graph
We are still in consolidation, a calm day waiting for some volatility, I am waiting for some kind of signal to enter in bearish price action mode, even on the 4 hours, and then sell the Euro against the U.S. dollar hands down.
Thank you for your time, and remember that for a profitable trading experience in financial markets, there is an easier way: it is called non-directional, it is a mathematical system that requires ZERO technical knowledge and is available to everyone.