FOREX PRO Weekly May 21-25, 2012

seedof

Corporal
Messages
99
Commander
I want to ask if you see the possibility of retracement reaching 1.3000 area since the 1.618fib extension on 4hrs is around there
 

adman

Private
Messages
26
Sive, was the drop too great today to likely be a DRPO? (Fell to 1.2659, too far below the green line 3x3 MA?). Or do you still see a possibility of a DRPO since the euro closed at 12684? Or are we looking at the start of a Bread & Butter continuation pattern down? (even though the retracement upward stopped somewhat short at 1.2826).
 

adman

Private
Messages
26
After a very large 160 pips between high & low in today's session, history suggests only a bit more than half that in the May 22-23 session which is about to start. I show S1 at 12622, R1 at 12782, S2 at 12560 and R2 at 12880. Sive doesn't trade S3 or R3, but the euro came within 3 pips of reaching S3 today. The entire 160-pip move today was down, which shows the immense bearish dynamic pressure. This suggests, to me at least, that the chance of a DRPO close tomorrow above the green 3x3 MA line is not very good. It seemed like a lot of people "joined the party", as Sive puts it after yesterday's retracement. I suspect even more will join at this new session's Pivot Point at 1.2720.
 
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Sive Morten

Special Consultant to the FPA
Messages
13,649
Thanks as usual for your response, this is one of the nuances you always mention in forex military school.
But pls my second question has not been answer am asking this question becos in Dinapoli he mention that he uses Stochastic to know the weak player activities in the market and he use it to know when to buy deep or sell rally.
the question again is what indicator do you use to determine when to buy deep or sell rally? or you wait for retracement at a crucial level just like your explanation in this week analysis.
thanks as usual.
Hi Ochills,
in fact, MACD of different time frames is sufficient and Stochastic is not needed. But it could be used as DiNapoli has described.
Choosing of right level to enter is a combination of Trend on different time frames, patterns and Fib work. For instance on daily/hourly TF. You know the level while daily trend will hold. You know significant levels. On hourly Time frame you may apply Fib extensions and find Agreement. If market will form some reversal pattern around it - much better.
Another way to enter - do nothing and wait when hourly TF will turn in a row with daily from one of the levels. After that use nearest Fib level to enter.
Read our school - trend compounding in chapter dedicated to multiple time frame analysis. You will get it.

Sive, do you know roughly what price level the green 3x3 MA will be today, May 22, 2012? Perhaps around 1.2720?
Hi Adman. MT4 allows to know it definitely - just use View ->"Data Window" option (CTRL-D). Put cross on bar that you're interested in and you'll see precise numbers of all indicators.

Commander
I want to ask if you see the possibility of retracement reaching 1.3000 area since the 1.618fib extension on 4hrs is around there
Hm. Currently, retracement is possible (look at today's update on first page), but now it is impossible to say will it reach 1.30 or not. Now even is a question will it happen at all, but patterns that may trigger it are forming.

Sive, was the drop too great today to likely be a DRPO? (Fell to 1.2659, too far below the green line 3x3 MA?). Or do you still see a possibility of a DRPO since the euro closed at 12684? Or are we looking at the start of a Bread & Butter continuation pattern down? (even though the retracement upward stopped somewhat short at 1.2826).
Market has not moved too far from first bottom of DRPO. So this pattern is still could appear.
 

gammel

Private, 1st Class
Messages
40
sive i watned to ask you are you we no longer getting the analysys textverrsion for every day .. so its only text version at mondays? but no longer on other days...please clarify
 

cercamon

Private, 1st Class
Messages
42
Hi gammel, you'll find the daily text version on page 1... at the beginning of the thread.
 
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