10.4 A Complete System

[DocT]

Long GBPCAD @ 5480. Currently +37.

This is counter trend trade...

[cmeade2]

It's not quite as good a setup because the RSI(2) was never flat (but it was pretty low), so I also went long on the NzdCad.

Like NOW on the AudCad as it crosses the MS1

I would also suggest keeping your eye on the AudCad and NzdCad for potential long trades.

Hey thanks for that. I was eyeing up the AUDCAD trade earlier, but forgot to put the buy stop in place. Your "alert" allowed me to enter at market....

Thanks

J

[SWG123]

Long GBPCAD @ 5480. Currently +37.

This is counter trend trade...

Range trade, from 2nd standard deviation (daily chart, 2-year lookback). Quoting from Bob's pdf:-

"How about the GBP/CAD, I consider this one of the best kept secrets in Forex. It is a great
range currency pair. See that green bar that measures its high from its low in the pic below?
That is 1000 pip range. That’s it that is all it moves, no wild swings no account busting moves.
Every month place a sell someplace in the top 20% and a buy in the lower 20% area and let it
ride."

So yes, not strictly 10.4, but worth looking for just the same.

[DocT]

Long GBPCAD @ 5480. Currently +37.

This is counter trend trade...

Range trade, from 2nd standard deviation (daily chart, 2-year lookback). Quoting from Bob's pdf:-

"How about the GBP/CAD, I consider this one of the best kept secrets in Forex. It is a great
range currency pair. See that green bar that measures its high from its low in the pic below?
That is 1000 pip range. That’s it that is all it moves, no wild swings no account busting moves.
Every month place a sell someplace in the top 20% and a buy in the lower 20% area and let it
ride."

So yes, not strictly 10.4, but worth looking for just the same.

Missed that - thanks. Will re-visit GBPCAD.

Good call there!

[theforexedge]

Sell Trade

Bob

Can i just ask if you would take the attached trade (sell) as we're in a Down Trend, the Stoch was Flat, but the AO is above the Zero Line, when it turns red. There is a similar trade on page 25 of the manual but I was just talking to Mr Long about tweaks to the Dashboard and I wanted to check that we're not interpreting the10.4 rules..

Thanks, JP

[rosst]

I am looking at the following pairs - waiting for the RSI to set up - any other candidates others see?
audcad, audchf, eurgbp, gbpaud, nzdchf, usdchf, usdjpy....

[nanningbob]

Sell Trade

Bob

Can i just ask if you would take the attached trade (sell) as we're in a Down Trend, the Stoch was Flat, but the AO is above the Zero Line, when it turns red. There is a similar trade on page 25 of the manual but I was just talking to Mr Long about tweaks to the Dashboard and I wanted to check that we're not interpreting the10.4 rules..

Thanks, JP

I am not touching the aud/nzd. It is bouncing around both sides of the 240 line not giving any direction. Which means that both aud and nzd are either strong or weak as unit. aud/nzd used to be the best trading range pair until China started buying everything they had. I use the aud/nzd to tell me which one of the two is the stronger so I can trade those crosses. I rarely trade the pair itself. If it goes up from the line you go with AUD if it is showing strong with other pair crosses and NZD is showing weak with other crosses. But I seldom take trade on it.

[theforexedge]

Sell Trade

Bob

Can i just ask if you would take the attached trade (sell) as we're in a Down Trend, the Stoch was Flat, but the AO is above the Zero Line, when it turns red. There is a similar trade on page 25 of the manual but I was just talking to Mr Long about tweaks to the Dashboard and I wanted to check that we're not interpreting the10.4 rules..

Thanks, JP

I am not touching the aud/nzd. It is bouncing around both sides of the 240 line not giving any direction. Which means that both aud and nzd are either strong or weak as unit. aud/nzd used to be the best trading range pair until China started buying everything they had. I use the aud/nzd to tell me which one of the two is the stronger so I can trade those crosses. I rarely trade the pair itself. If it goes up from the line you go with AUD if it is showing strong with other pair crosses and NZD is showing weak with other crosses. But I seldom take trade on it.

Bob

But as an example is it OK to sell if the AO is Red but above the AO Zero Line?

Jason

[nanningbob]

When currencies are lining up around the 240 line and a choosing of directions is at hand what do you look for?? Here are some news stories:
Spain unemployment up
Italy expected a downgrade in credit rating
Italy rejects austerity
Britain gets downgraded

Do you kind of get a picture of what may happen next?

USD sequester is an overblown story, raising some taxes and cutting some of the budget is exactly what the govt needed to do. Sloppily done but it will do for the short time.
CAD AUD NZD have held or done small cuts in their lending rates. AUD may cut sending those three further down the chart.

JPY decision for new banker is in April not March.Candidate rumors may persist all month.

Yup expecting strong USD and weak Euro Currencies. Commodity currencies may follow unless China gooses their spending again, which leaves USD and JPY being the pairs most likely to grow stronger. Funny how the 240 line is telling me the same thing right now.

Of course any of this can change with certain surprise news but welcome to Forex.

[nanningbob]

Sell Trade

Bob

Can i just ask if you would take the attached trade (sell) as we're in a Down Trend, the Stoch was Flat, but the AO is above the Zero Line, when it turns red. There is a similar trade on page 25 of the manual but I was just talking to Mr Long about tweaks to the Dashboard and I wanted to check that we're not interpreting the10.4 rules..

Thanks, JP

I am not touching the aud/nzd. It is bouncing around both sides of the 240 line not giving any direction. Which means that both aud and nzd are either strong or weak as unit. aud/nzd used to be the best trading range pair until China started buying everything they had. I use the aud/nzd to tell me which one of the two is the stronger so I can trade those crosses. I rarely trade the pair itself. If it goes up from the line you go with AUD if it is showing strong with other pair crosses and NZD is showing weak with other crosses. But I seldom take trade on it.

Bob

But as an example is it OK to sell if the AO is Red but above the AO Zero Line?

Jason

AUD rate decision is later; rumors are they will cut the rate again. If they dont you will buy the AUD. if they cut .25 sell it if they cut big .50 Sell and hold. NZD will follow suit later. The AUD is right on the 240 line bouncing on both sides. It is telling you it is waiting for something to happen. 50/50 guess time. Indicators do not tell you what a news story is going to be, they tell you price is hanging around a certain point waiting for a news story to determine direction. Straddle a buy above the highest and a sell below the lowest and you are in no matter what the story is.