In a shorter time frame, I see some price formation which will probably lure some traders shorting EUR/USD again. I am not into it this time. To me, for short term trading, I don’t see good risk/reward setup now. Well, again, that’s in Trader Gav’s definition.

Here is the…..CHART! The color dots are just to impress my readers. Showing off my programming skills. 😆 .. Nah. Basically, we are reaching a longer term support area. (Again, that’s my definition of long term). So, I hesitate to be on short side at the moment.
[photopress:eurusd11may2008.gif,full,1]

Here is the …Trend Score! We are in a very weak Downtrend. I am looking at a choppy consolidation phase soon. Let’s see how it works out.
[photopress:eurusd11may2008_trend.jpg,full,1]

About this tool

OK, this is not a good trade, in my definition. I am not being myself today. Anyway, I exited short position of EURUSD around 1.54-ish. I didn’t like the fact that price flirted around 1.54-ish level. (OK, maybe this exposed my weakness of unable to hold on the winner). Whatever, not a good trade, but nice chart. That’s the reason I am writing this post. I am going to show off yet another nice chart. Shoot! Did you read my junkie idea in the previous post?

[photopress:EURUSD07May2008.jpg,full,1]

So you know we had a surprised Non Farm payroll numbers last Friday. The Green Back is showing some strength. I see some Long setups in dollar pairs, before I start my trade selection, I would like to have a look at Dollar Index.

We saw dollar kinda bottomed around 71-ish level. Well, maybe I should say, it chopped around 71-ish area. And it started to show some strength in April. Of course, even the doggy outside my apartment can tell, USD is still in established downtrend, in medium to long term. For now, I see 75-ish level as a target before it continues its downtrend.

So, I might have a couple short term long USD positions in the coming week. Let’s see how it plays out.

Here is the ….. CHART!

[photopress:Dollar_index_04May2008.jpg,full,1]

Here is the ….Trend Score! Bear in mind , we are having a very weak uptrend though….

[photopress:Dollar_index_04May2008_trend.jpg,full,1]

About this tool

Yup, it is time now for me to have a break from currency trading. OK,  it is just an excuse. Basically, I do not find anything interesting or tradeable, well, in my definition. We are heading into a big week/chaotic week? My Sunday night chart scanning was a mess. I have a bunch of ugly charts.

So, I am going to let the currency markets adjust itself next week.  I might spend a little bit time scanning some Australian stocks, and play some NQ futures trading…

Have a safe week.