160 pip Forex Trade could be in the works from the current level on the Aud/Usd. Keep in mind not all trades work and this trade may just be one of those trades. In this Forex video I have laid out a clear analysis of why I was looking to enter the trade as well as how I choose my 160 pip target for my trade.
160 Pip Forex Trade Video
In last weeks Forex video I showed everyone how I was planning to trade the Euro vs U.S. Dollar. My intention was to take multiple positions as the market pulled back to the swing point, but the market only gave me one chance to enter and never looked back. Now ask yourself did you make at least 100 pips last week? If the answer was no. Was fear the reason that stopped you from trading? All strategies will incur some losses, but a good Reward to Risk ration will help keep your Fear at ease when you take your next Forex Trade. The Forex Trade in the Euro had a 2:1 Reward to Risk Ratio. Next months Free Video will touch on Money Management and how good Money Management can take a breakeven or a small losing strategy and turn that strategy into a very profitable Forex trading strategy.
Forex Trade Update Video
Over the past few weeks the Euro has declined a little more than 500 pips. My swing trade strategy was able to catch a nice part of the move and would still be in a runner for those trading multiple lots.
I personally am looking for a corrective move to start early next week, but I am also aware that there could be more selling pressure to come. Watch the Forex video below to see how I plan to trade the Euro and levels I plan to take profit as well as secondary targets.
Euro Trade Forex Video
There are three types of gaps in the Forex Market, knowing which gap to fade and which gap to trade in the direction of the gap will help your win loss ratio as well and increase your profit and loss.
For those of you that do not know what gaps are , gaps are when price closes on Friday and opens Sunday higher or lower that the close one Friday. The Friday and Sunday are specific to the Forex Market, with stocks it would be daily. Below are examples of gaps.
Gap up example
Gap Down example
You may be asking yourself what are the three types of gaps here they are.
How to Trade Gaps in the Forex Market
1) A gap in the opposite direction of an extended move. Be very cautious if you attempt to fade the gap and make sure to use your Fibonacci retracement tool to measure the retracement levels, any retracement less than 38% would make a very good case to trade in the direction of the gap.
2) A gap after an impulse move. This type of gap can normally be faded, meaning to trade in the opposite direction of the gap and targeting the close of the gap.
3) A gap that gaps more than 65 pips, give or take a few pips needs to be respected. The gap will most likely take days or weeks before getting filled. Inexperienced traders tend to see the gap as easy money since the gap is so large and end up getting stopped out by the lure of easy money.
How to Trade Gaps in the Forex Market Video
Combining the knowledge of Gaps with our key level and other trading tools we such as Macd and Fibonacci can improve any traders profit and loss. The Forex Video I posted 2 weeks I plotted key level for the Aussie vs the U.S. Dollar (Aud/Usd) if you would have applied our gap technique you could have profited hundreds of pips.
If you Missed the Forex Video two weeks ago Click Here.
Weekly Forex Market Forecast video this week will be covering key levels for the Aud/Usd. The Aud/Usd has been taking a very long time to develop this trading bottom and last Sunday we had a nice gap up, last weeks gap was not one that I would fade since the market has been in a downtrend for several months, but was rather a buying opportunity.