Fx futures Journal

Now there is MACD bearish divergence on hourly charts-- excellent opportunity to short Aussie. Hourly charts technicals work fairly well in CME FX futures due to the continuous nature of the data sampling overnight.

 

Still short although I had to weather a few pips to the upside before it went down the third time.

 

This was certainly an error taking profits on the long Yen trade too early, however it is hard to call something an error when there is good profit in it anyway. I can see the Aussie, Canadian and the Euro all looking like they could turn downward on dailies, but the Yen daily chart still looks very very strong. The hourly chart on Yen shows signs of weakening, but as I said the daily looks strong. At the moment , I would stand aside on the Yen , or if it continues to weaken on hourlies, I will short and use a tighter stop as the daily chart is so bullish.

 

Covered my Candian short for a whopping 8 pips overnight.

 

Staying on the sidelines on all currencies right now Charts on all indicate we may near he upper range, but there are still bullish signs. Standing aside for the time being until signals are a bit clearer. (I do still have short 126 Euro calls)

 

I am watching closely here to see if the Euro futures can mount an attempt on the 126 area of my short calls. I will be entering limit orders on the 128's to add to my short call position when /if we reach 125.50 or so. I am delighted that there may be an opportunity shortly to collect some more premium.

 

I began the scale in of short 128 calls today.

 

The Yen looks to be the weakest of the 4 currencies that I follow. I'll have to pay attention to it as it appears that a double top with RSI is forming, but the close today will have to be looked at to see if correct. Hourly bearish divergence are all over the Euro, but they haven't shown up in the classic pattern that I like to see, so for now anyway I will just continue the scale in of higher strike short calls. This is where I make most of my money generally-- I am never in full on the first short sale and I give plenty of room for adding positions. I am delighted by the Euro moving against my position.

 

Bearish divergence on hourly Euro FX bar occurring.

 

This one worked out very well today for day trading. It could be a bit premature to play this one on a positional basis just yet as it is difficult to tell if this was profit taking or trend change. Generally it takes more than one day tyo get a trend change and there is certainly no negative divergence yet.