Just a quick post of one of the trades I made yesterday. I thought it might provide some educational value to my now 13 readers.

I went long of USDJPY around mid London session yesterday. My entry was not the best I would like to have.  I saw a small consolidation cluster around 96.75 , and it, in fact, broke the inner trend line. (Refer to the blue bold line in the chart below).  My view was, the consolidation above inner trend line might potentially be a launch pad for a upward movement.  Well, it dipped a couples of hours later, but never go beyond 50% retracement of the current swing. Stop loss was not triggered.

In retrospect, the dipped after my entry was indeed a retest of another broken down trend line and support level. In hindsight, this is a better entry, but hey,that’s trading, and everything looks better in hindsight, no?

Target is set at 97.40. This is the price projection measured by using the Fibonacci extension of 161.8, golden ratio, of the lowest swing low to the break of inner trend line.  The target was achieved during Tuesday Asian morning session.

2nd target is set at measured move up to around 97.80 which is also a resistance level.

Here is the 1-hour chart of USDJPY.

I suggest to have a look at Steve’s NBT posts for the concepts of price projections for target setting.

That’s it for now. Have a good trading week ahead!

From the desk of TraderGav.com

Here is the weekly review of spot GOLD XAUUSD levels. You can last week’s chart review in this post.

GOLD reacted at the resistance level and also 50% retracement of D1 down leg. 1347.57 is now the level to watch for any false break should price retrace back to this high. Overall, GOLD is contained in the Daily down channel. The key levels to watch now are 1297.55 for resistance and 1268.40/1272.22 for support.

Here is the Daily Chart of spot GOLD

In 4-Hour time frame,  I am watching closely is the potential break up of the H4 down channel. Refer to the 4-hour chart below, a break of this channel, and 1297.55 might bring us back to 1347.57 as mentioned before. On the hand, a break of support level 1268.40/1272.22, I will be looking at potential short setup at the pull back.

That’s all for this post.

From the desk of TraderGav.com

AUDUSD

Aussie remains trapped within the trading range. You can trade your range play strategies, I prefer to wait for nobrainer setups. 0.93 is still the key level to watch for any bullish movement. 0.9030 is the immediate support area to watch. A break of these levels will interest me.

For short term intraday trading, there are some levels to watch within the range. 0.9230 is the support level I watching. As a personal preference, I like to trade the reversed level, in other words, I prefer the break of support and initiate a short position at the pull back.
The next immediate support is seen at 0.9170 ish, and 0.9110.

Here is the hourly chart of AUDUSD with key levels marked.

USDJPY

The false break at the 98.25 level as mentioned in my previous post did not happen. USDJPY did not manage to close above the level. Instead we are likely to head to 97 now.

Here is the H4 chart of USDJPY with key levels marked.

And here is the H1 chart of USDJPY

That’s all for now. More later. Remember, it is NFP week, so keep trading if you want, and be cautious.