10.4 A Complete System

[ross]

I've closed all my trades now, and will get ready for Monday

Have a great weekend everyone.

Mike

10.4 helps light up the other things you have learned in Forex. You will see these other markers and they pop out at you. Divergance and Tops/Bottoms gives you warnings that trends are ending, so you can become less aggressive. JPY is showing some strength for now, probably range which means you look for another currency to strengthen/weaken. For this week ended up being the dollar and pound. OK so next week we will see if these two will continue into their trend and if they do we will follow them up/down. The Euro has crossed or is hitting the 240 line which could mean next week we will be shorting it. This is the type of valuable info that is missing in trading. We now can see the setups coming. Draw that Trendline and we know the best next area we probably will be trading from. For example here is the EUR/AUD for next week and the area we probably will be selling from. Yellow line triple top, red line trendline. I can almost bet you the weekly pivot will be in that blue area and we can play the bounce off of it.

Still want to wait for the RSI to flatten out on the top - right?
Here is an RSI alert someone was asking for - it is an EA NOT an indicator - see if it will work for you...
Thank you Bob! You are the best teacher EVER!

[ross]

Does anyone have the LaGuirre indi. I would like to compare it with the RSI 2

See if this is what you are looking for....

[Anonymous]

Does anyone have the LaGuirre indi. I would like to compare it with the RSI 2

Hi Bob,

Thank you very much for all your generosity and hard work.

Attached below are Laquerre indicators which you may find useful.

peter.

[yamez]

Does anyone have the LaGuirre indi. I would like to compare it with the RSI 2

Laguerre with email alert.

[Dewey McG]

Here is one called LAGUERRE RSI whch looks interesting

[nanningbob]

Thanks guys i will look at these while sitting in some airport somewhere

[nanningbob]

Get ready to trade this week. News is GBP credit rating was lowered so I would expect some big gaps monday. If you are in some gbp sells this should make you happy. I closed several on Friday now I wish I still had them. Do have the gbp/cad though so you have its signal to trade. The same trade signal exists for the gbp/jpy, gbp/chf, gbp/usd.

[nanningbob]

GBP credit rating is lowered. One of the fundamental rules of trading is Strong Fundamentals trumps indicators. In other words indicators cannot see a news story happening. If the news was GBP credit rating was upgraded then it would probably move up no matter what your indies said. I had this debate at FF when the new JPY govt. was installed. All the indis were screaming buy buy buy but in reality the buyers had no chance. Indis are not very good at predicting breakout from a news story. However with 10.4 we knew something was up with the gbp as it dips below the 240 MA line and then came back up to test it. Now we can expect it to plunge again, not only because our indis tell us that but the news story will confirm it. So here is a gbp/nzd classic breakout play. I drew the yellow line where there has been support and now we can place our pending sell under that line and get into the trade when price breaks south again. Now if I am wrong about this news story, you wont be in the trade, but if I am. Hot diggity dog you will enjoy this run. So play the breakout on the gbp/nzd and to heck with the indis until they tell you to get back out of the trade.

So what happens elsewhere? The other euro currencies will probably be dragged down with it but the euro and chf may go down at a later date just watch how they react. So if the euro, chf, gbp start going down. Something has to go up so I suspect USD will go up especially if they get a budget passed, ha ha ha. That also leaves the commodity currencies nzd, aud, cad as good candidates. Of course the aud and nzd dont really want to do that.............. so the yen could have a temporary strengthening until the new BOJ head is announced and whether or not he will support the govt. program of devaluing the yen. So this week I expect the USD to be strong and the GBP to be weak and everyone else heading for the hills.

Then on the other hand .............................. I could be wrong ......................... I hate fundamentals there is always something that pops up to prove them wrong.

[alex_forex]

Bob,

Never had a such success trading a manual system
it is really awesome, thanks you a lot !!

Cheers
Alex

[jmdias]

Hi Bob,
IN your fundamental analysis you forgot to mention Sunday Italian elections
cheers