View: Blanks of the trader
Blanks of the trader
2 out of 3 setups from the last week got completed, both in FX space. BAT pattern on EUR/USD pair is currently slightly in the money with anticipation of more downside to come for this pair. As anticipated earlier it was not clean textbook pattern completion, however having psychological handle @1.38 level is doing good work keeping the price below that level at the moment. There is potential coiling with another bearish pattern there that will be mentioned below. Cypher pattern on GBP/USD got completed in the middle of the week and despite going the "right" direction later on i got stopped out, as perhaps there were too many stops sitting @1.6450's area that triggered the price going far more north than originally anticipated, -50 pips on this trade in total. Cypher on CAC40 got closer to completion, as it stands at the moment it is about 50 pips from textbook entry.Trading signals China A50 (XINHUA)
On the equities side of my watch list Chinese A50 index has potentially setup for a near term future. This market has been in sideways more or less for last couple of months. The bullish BAT pattern if completed will kick in @7115's area. To get completed next week will have to see explosion of volatility that can push the ranges of this market to some extreme levels, therefore ideally this setup completion should take place at the end of the year or early next year.
This pair will be very much under the influence of fundamental events next week namely FED rate decision will definitely add volatility to this pair. The USD strength is widely anticipated across the board, the question perhaps will remain when rather than if tapering will start. Bearish Cypher pattern is better seen on 1 hour chart, for the traders than missed bearish entry from the last week mentioned earlier, perhaps this will be second chance get involved in short position without too much risk being caught out. 1.3783's area is a completion of this bearish pattern, on a caution note this market is very much in still in bullish trend, therefore it would be extremely risky to put too much size into this short in my book.
This FX pair is producing another signal, this time on a bullish side. This instrument dived into sideways phase with a lot of potential to the upside across the board, as mentioned in previous pair analysis FED decision will be driving this market next week. Area @1.6260's is major pivot point if looking at daily chart and at this moment local double bottom is being formed as well as AB=CD pattern that was completed last week. If will get back to this area again this is very strong buy signal in my book.
The bearish BAT pattern on Gold (XAUUSD) started emerging last week before taking huge step back. At the moment it is still valid signal until lows of 1211 will be broken. With high volatility levels in this market it is reasonable to expect completion of this pattern next week if price will take direction north. The pattern completion @1285's level will likely to catch this market in a sideways mode.
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