Home Trading Strategies Best Trading Opportunities (February) | Price Action Trading Analysis

Best Trading Opportunities (February) | Price Action Trading Analysis

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Best Trading Opportunities (February) | Price Action Trading Analysis

hey hey what’s up my friend so welcome back to this month’s market analysis so this is a video that I do each and every month and to kick things off right I want to walk you through a couple of traits that I took right how I manage those trade entry exits and much more and after we try we will discuss a couple of trading opportunities that I will be looking at for this coming week and even this coming month first thing first Eurodollar so this pair right I believe I have actually analyzed this in last month’s market analysis alright so if you want to see the full breakdown okay just look at the previous month market analysis for January but the core idea for this is that I said that I was bearish of this chart on this market euro dollar and the reason is simple is that when I look at this shot to me this is in a weak trim price has made a series of lower highs and lower lows right basic technical analysis stuff where it gets a little bit more nuanced right is how did I manage to classify this as a weak trend so to me a wick trend is where the price tends to find support resistance right added 200 period moving average so in this case since this is a downtrend right it tends to find resistance right and the 200 period moving average it tends to retest previous area of resistance so you can see over here it tested once tested twice here almost a third time it came back here a fourth time and what’s really sweet right about this particular level is that not only that it had a bounce of this 200 ma it also had the confluence of this area of resistance that you see over here and also you have this shooting star pattern right somewhat of a strong bearish price rejection from the seller so this to me is a number of factors right they come together that made me want to shut this market so I went short on the big scandal open okay when in the candle open big scandal I went shot stop-loss right was 180 are above this highs I think it’s somewhere about here there’s 180 are above this highs so what happen is there for this trainer I said I understand that it’s a weak trend okay I am NOT looking to right to move all the way down I just have a target which is in this area of support over here around the 1:08 level so in this case you can see that the market it did went in my favor and anyway the kids me okay so you can see that over here at this point right where this price spike up many traders have their stop-loss just above this highs and they will get stopped up and this is why you hear me say over and over again through my training videos my market analysis is that I don’t like to put my stops just above the highs or below the nose because of this particular phenomena during the market dance to retest the highs trigger those cluster of stop-loss before they reverse back you know to your intended direction so usually I give it one buffer I give it some buffer like 1 times the average to reach from this heinz over here so as the market now when in my favor right the way I manage this trait is very simple I like to keep things simple so I’m just going to 1/2 write a fixed target as I mentioned over here this area of support this is my eventual target and I’m just trailing my stop-loss numb because right now the price has moved in my favor but I have no idea right whether it’s going to retrace all the way to my entry here my stop-loss or continue moving to my target profit that I have in mind so what I did is that I have a 380 our trailing stop loss which then you can see over here that is shown using this particular line over here this purple line so this is basically tree ATR from the lows so let me just explain how this works so for example right now the extreme low is at this point so from this low you add right and if you don’t reach here let’s say the low is X let’s call it X and you +3 ATR you’re gonna get a value around this purple line over here so this purple line serves as a trailing stop loss for me yes I do have an individual target at this price level but what if the price moves against me right am I gonna let it hit my stop-loss no right so this is where the trailing stop loss comes into play so if you want to learn more about the Average True Range right you just pull out that indicator a quick one right just pull out a TR average to rage you find out what’s the ATR value over here you multiply it by tree and you realize that from the lows right you plus three eight here will be around this purple line over here which is this indicator is called the chandelier stop right which is actually a a variation of the average True Range indicator okay so that is for the euro dollar tree that I I took right almost hitting my target we will see how this one plays out and of course right not all treats are winners I do have my losses along the way and about to share with you this particular loss that I have so Swiss franc against the yen so again let me just walk you through the background of this particular market so you just zoom on right you can see that the Swiss franc against the yen it’s a bullish price has broke above this area of resistance right price break above this resistance and ready retest back this level previous resistance what does it become well it tends to become support right not always not definitely but there is that possibility so this is where you let price action right be your kind so I let price action be my guide in this case on the four hour time frame where you can see that this price has come into this area of previous resistance ten support as you’ve seen on the daily timeframe so where I got long is where I notice right the price for being somewhat of a inverse Head and Shoulders pattern right and see that is the left shoulder this is the hit this is the right shoulder and at this point this was the level I was looking at this heist so at this point I know that if the price were to break up of this highs I would have a higher high any higher low so this tells me that the buyers are in control right a series of higher high and higher low previously what here was just a series of lower highs and lower lows telling you that the sellers are in control I agree right and so I don’t step in front of the moving train and also I mentioned earlier that I have no idea whether you know previous resistance will become support so I let price action be my guy and using this multiple time frame analysis on this for time frame I was looking for a series of higher higher and higher low this happened to be in the form of our inverse Head & Shoulders pattern this is not the only pattern it could come in the form of a ascending triangle pattern there’s another variation and you can expect so when I get the higher high and higher lower where the price break above designs I went long I went low and again right using the same technique right my target for this trade was at this highs over here just before this highs looking to capture that one swing so again I had my three ATR trailing stop loss and in this case the price break and closed below it over here and I had a loss on this trade right this is about a loss of about 0.

6 our for me for this particular trait so you can see that it doesn’t always go in your favor yeah you know dealing with probabilities never set a deal okay so hopefully this couple of trading setups right step by step that I’ve explained or I give you a good idea to how I analyze and how I treat the markets so movie corner I want to share with you a couple of things right first one is all Z New Zealand so Aussie New Zealand this is pure right technical price action trading analysis so when you zoom out of this chart right I would say this market is largely in a rage ok the rage can be defined from this area of support over here possible area of resistance here and another one over here y-you see this is red colors because this level can be seen on the weekly time frame as well so this is like a strong level right if you look at the weekly charts you can see that this level is actually very visible on the weekly timeframe so this is a key level so on daily timeframe you can see that right now the price has rallied higher over the last few days okay and I have no interest absolutely no interest to buy at this point because if you think about this if I were to buy at this point where do I set my stores there’s no logical level to set my stop-loss my stop-loss alright based on the looks of this chart right this would be the nearest market structure and from this honey’s to this Lowe’s you can see that the stop-loss is pretty done white and as you know right I don’t like to set my stop-loss just below this loss price will come down to spike below the lows and then reverse back up higher so what now so this is where I use multiple time frame analysis right to help me time my entry so at this point when I see that the price has broke above this area of resistance or is in this area of resistance so if you go down to a lower timeframe at play let’s say in our time frame notice that this is the area of resistance over here okay price has broke above it so what I want to see is that the selling pressure is weak I want to see that the cells they have difficulty pushing the price lower right so this it’s likely to appear in the form of a a weak pullback a small range candle pullback like this something like this right notice this the range of the candle they are all relatively nice tightening narrow this is what I’m hoping to see a nice tight narrow Ridge candle on the pullback so this looks something like boo flag pattern right you’re familiar with a bull flag pattern right so when this pattern fobs like I am now looking to buy because it has showed me that the buyers are still in control sellers they are not able to push the price lower because if the sellers they are able to push the price lower this would be a somewhat of a false breakout price we just broke caused by all the way down lower it’s a false breakdown right it Hey right I will be looking to buy so if this happens right we get a nice tight narrow range candle on the pullback right this to me is a signal to be alert for potential by setups so what I’ll be looking for is let’s say price that’s trickle down lower tight range I’ll be looking to place a buy stop order above this Heinz so if the price breaks above the highs I’m looking to buy stop-loss again just one ATR below this low somewhere about here as for targets I will be looking at this area of resistance over here this area of resistance is where I’ll be looking to take profits okay so if you just go back to the big picture right you’ll notice that that level over here is this area where previous support could be cub resistant so this is a key area that I will be looking at to exit my tree and it’s not rate management again we can go with the similar concept I shared with you earlier use a trailing stop loss at 380 are a for ATR okay so this is just one way to go about it to a trail of stop-loss to manage your trade before it actually hits your eventual target over here okay so this is for Aussie New Zealand moving on just one more setup that I think is worth paying attention to is dollar Canadian so dollar Canadian you can see that again look at the big picture right so before I put on a trade I always like to look at the chance and ask myself you know what is this market doing so just zoom by your chart I can go up to a higher time frame whichever you prefer okay so just zoom on your just a little bit and you can see that this market is largely in the range you can see that it’s contained between this area of support there’s this resistance here at one more over here so well this resistance hole well I have no idea so this is why I read the price section of the markets and let it be mine kind let it form a structure witness in case if I’m looking too short right before I pick a position so what is a type of structure witness that I’m looking for okay so if you look at this on a lower timeframe right right now the buyers are still in control you look at four hour time frame series of higher highs and higher lows alright every can see a series of higher highs higher looks so a structure weakness or what I call a break of structure occurs when price makes a lower high and lower look this tells me that hey you know buyers they are unable to push the price higher and sell us are in control right as we undertake a short position and I’m not just looking to short just because there’s a lower high or lower look it’s because I noticed that this price this market has come into this key area of resistance an arrow a potential selling pressure could step in and the break of structure sort of confer bright my my so-called hypothesis so of course that’s not the error and you still have your entries your trade management your targets risk management and so on it’s so forth right but hopefully right I have given to you this broad concepts to understand that you can apply for your own trading so what’s what could possibly happen now is again I’m looking for a break of structure price would come down lower then bounce off down lower so you can see that in this case maybe we could get a descending triangle a series of lower highs coming into this area of support if the price would break below this area of support I’ll be looking to go shot looking to sell I can set my stop loss just referencing from the previous swing high possibly this high so over here maybe one in here above it somewhere about here okay as for targets ask myself right where is a potential buying pressure like me to come in right and based on the looks of this chart the higher time frame that you’ve seen earlier right I would say this line over here it is a one dollar 1.

3 or five over this area is where potential buy pressure will come it this is where I could have a potential target for this particular trip does it make sense now if you’ve enjoyed the market analysis right now I want to welcome you to join pro trader siege right this is my premium membership right where you will get such market analysis every single week all right I usually publish this type of videos and weekend to share with you my my insides of the market the trading opportunities I’m looking at the trades I took and much more so that’s not all right because as a pro traders each member you get many benefits that come along with it so for example you have access to the backtest research lab so this is a lab right where I pretty much back test the financial markets to tell you what works and what do in the financial markets so we have a different stuff going on we have you know things that talk about stock markets quantitative trading and much more so all this over here in the backtest research lab and i regularly you know any new lessons new findings that I have in the financial markets then also we have the weekly trade alerts this is basically right the video that you have seen earlier but it’s on a weekly basis so every single week I publish such videos right so you can see my analysis my top process has the traits I took and you can you know shorten your learning curve and quickly you know level up your trading so you can see that you know every week we publish a new video on the markets we have a premium trading strategy guys this is for you right you know especially if you enjoy reading my blog post and you want a PDF version of it so every month we upload new PDF trading strategy guides use it’s a free for you to download you can just click on it right and you will be brought to a PDF PDF link a PDF page to download it we have a exclusive training webinars for you to you know to help you know level up your trading learn new trading strategies and techniques ok these are exclusive webinars that you will not find elsewhere then we have you know trading books and investing books that I recommend trading checklists right so before you put on a trade you can you know download this checklist to reef review right to make sure that you know you’re on the on the right side on the right page right and not doing anything funny or silly right we have the proprietary trading indicators volt this is for mt4 users you can download all this indicators to you know help you with your own trading let you know the MACD mt4 there’s some issue with it we have fixed it over here we have the dungeon channel a news reporter that alerts to you know potential and all important news that’s coming up and much more as all over here in the indicator vault and also we have the simple mean reversion trading strategy that ah that you’ll learn right to trade the market so this is a very simple strategy for you to get started especially you know if you do not know which strategy to go with start with this simple mean reversion trading strategy because it is a test that back tested right to identify first and foremost which markets tend to mean River which markets have a mean reverting characteristics right then I explained to you right the setup to create this type of mean reverting markets right so you really have the odds in your favor right applying the right trading setup in the right type of market condition okay so this is a mean reverting trading strategy that anyone can learn right even if you have no trading experience so this is what you’ll get right as a pro traders each member right new container updated regularly for the backtest research lab weekly trade alerts premium strategy guides and much more right so I’ll put the link below so you can check out pro traders hn and with that said right I hope you’ve enjoyed this video and I’ll talk to you soon you

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