July 30, 2012
- in Uncategorized by schooloftrade
Dollar index trading Checklist:
Heat Map: What is it
telling us?
telling us?
Bullish at +0.3%
OHLC Analysis:
It says we should be bearish.
This tells me there’s a reversal coming, or the price-reversal has
already occurred.
This tells me there’s a reversal coming, or the price-reversal has
already occurred.
Overnight Highs & Lows:
We have broken overnight highs, this is bullish. A bullish dollar index means bearish markets,
so we look to sell short.
so we look to sell short.
Are we inside or outside day today?
Inside day, get ready for a possible breakout, or if the
buyers fail, a fake-out breakout. Think
of how this possible failure will impact the markets we trade.
buyers fail, a fake-out breakout. Think
of how this possible failure will impact the markets we trade.
What price-structures do we see?
·
Price
wedge is formed from trend line from A to C.
Price
wedge is formed from trend line from A to C.
·
Price
channel is not on this chart
Price
channel is not on this chart
·
Trigger-zone
Trigger-zone
· AB=CD
Pattern is bearish, and just showed up when we tested the trigger-zone support.
Pattern is bearish, and just showed up when we tested the trigger-zone support.
·
Zigzag
needs a price channel, and we have none.
Zigzag
needs a price channel, and we have none.
·
Double-top
/ Double-bottom
Double-top
/ Double-bottom
·
Range
Highs and Lows we are in the middle of the major range. This is the sloppiest
area on my charts.
Range
Highs and Lows we are in the middle of the major range. This is the sloppiest
area on my charts.
Where will a reversal be likely today?
We look for a price-reversal around PHOD because it’s a major
turning point in the market, and we see the 89-range trigger-line as resistance.
turning point in the market, and we see the 89-range trigger-line as resistance.
What is our trading plan for today?
We have a bullish dollar index above the recent swing-high and
confirming on the heat map. We are about
to test the PHOD. If we fail at these
highs and go lower, we will buy at support using our favorite markets. If the dollar index moves through the PHOD,
above the 89range trigger-line resistance, this will confirm a bullish dollar
index (rising dollar index) and therefore we will keep selling short using a
wave-pattern on the markets we trade most.
confirming on the heat map. We are about
to test the PHOD. If we fail at these
highs and go lower, we will buy at support using our favorite markets. If the dollar index moves through the PHOD,
above the 89range trigger-line resistance, this will confirm a bullish dollar
index (rising dollar index) and therefore we will keep selling short using a
wave-pattern on the markets we trade most.
