while waiting for one side to stomp over the other
some boredom relief : a Waffle Stomp – Joe Walsh
at thy discretion
JP – The Fed cutting rates any time soon is amounting to a window into how confused people are, even analysts.
From Moody’s Analytics: “While inflation has fallen considerably from a peak of 9.1% notched during June 2022, it remains well above the Federal Reserve’s 2% goal. Additionally, when compared with January 2021, prices are up a stunning 17.6%.”
“The cost of necessities like food, gasoline, rent and child care remain far more expensive than they were just one year ago. Chronically high prices are forcing Americans to spend about $650 more per month than they did two years ago, according to a recent estimate from Moody’s Analytics.”
USDJPY 4 Hour Chart – Uptrend consolidating
150.00 is the bias-setting level going forward.
4-hour Levels are very clear
Sup: 148.92/149.52/149.82
Res: 140.65/150.88
Note, USDJPY tends to be most sensitive currency to moves in US bond yields
Scross down the forum to see USDJPY analysis from ForexCycle
EURUSD
From yesterday’s Week Ahead :
EURUSD Week Ahead
Resistances at : 1.07900 , 1.08350 and 1.09250
Supports at : 1.07400, 1.07200 and 1.06950
Pattern wise, Resistance at 1.07900 should Hold, and Down move should continue…
They came, they touched and they bumped ( 1.07894)
We need it to go through 1.07500 to confirm the pattern and continue down.
Let’s see how it’s played…
gooddy gooddy … just like the FED likes it:
–
CNBC Daily Open: Fears over yet another hot inflation gauge
sofar quiete on the trading front
–
Trump says truckers boycotting driving to New York City are great patriots
This article is worth trading as it covers the week ahead
Morning Bid: China markets look like they need another holiday
USDJPY Analysis: Uptrend Continues, Resistance and Support Levels
The USDJPY pair is currently within a rising price channel on the 4-hour chart, indicating that the pair remains in an uptrend from 145.89.
As long as the channel support holds, the upside move is likely to continue. A breakthrough of the 150.88 resistance level could potentially take the price towards the 151.90 resistance level.
On the downside, a breakdown below the channel support could bring the price to test the 149.52 support level. If the price breaks below this level, it would indicate that the upside move has already completed at 150.88, and the next downside target would be around the 147.50 area.
player sentiment heading into new week
–
Just one of a number of a gathering of similar takes I have read over last few days about the market:
‘Peak Euphoria’ Warning Blares as Stress Vanishes on Wall Street
(Bloomberg)
…Fed officials seem sanguine about it all, and indicate that the next move is a cut, just further out. … “A hot CPI woke markets up to the fact that risks are two sided. But still, mindsets are hard to change, as most people anchor to recent history,” the firm’s team including Christopher Metli wrote in a note.
Technically, there a number of instruments in the “overbaught” territory. In itself not a strong sell signal, just a prescient one without a precise timing.
OnlineBroker.Fr is the best resource for French language information on the best online trading platforms and crypto exchanges in France.
You may find this useful
What is Risk Management in Trading – Forex Forum
For any trader, managing risk is essential to success. But what exactly is risk management? In this blog post, we’ll explore what risk management is and how it can help you become a successful trader.
We’ll also look at some common mistakes that traders make when it comes to managing their risks. After all, if you’re not managing risk appropriately, you’re just a gambler. So if you’re ready to learn more about risk management, read on!
What is Risk Management in Trading?
Risk management is the process of assessing, controlling, and managing risk within a trading portfolio. This involves defining trading goals and understanding potential losses that could occur as part of the trading process.
It also includes identifying potential risks, such as market volatility or sudden changes in the market, understanding how these risks can affect your profits, and taking steps to limit potential losses.
In general, risk management should be a priority for all traders. By properly managing your risks and using effective strategies, you can minimize potential losses and increase the chances of making successful trades.
Common Mistakes When Managing Risk in Trading
Unfortunately, many traders make mistakes when it comes to managing their risks. Here are some of the most common mistakes that traders make when it comes to risk management:
Not Setting a Trading Plan:
Many traders don’t have a detailed trading plan, which is a key component of risk management. Without a trading plan, traders are more likely to take risks that could have otherwise been avoided. It’s important to establish clear trading goals and a plan for how to reach those goals.
Not Understanding Risk:
Many traders fail to understand the risks associated with certain trades, which can lead to serious losses if they don’t take the time to research and understand the risks involved. It’s important to have a thorough understanding of the markets you’re trading in before taking any risks.
Not Taking Advantage of Stop Losses:
Stop losses are an essential component of risk management, as they help to limit potential losses in the event of a market downturn or sudden changes in the market. However, many traders don’t take advantage of stop losses and end up taking larger risks than necessary.
Over-Trading:
Over-trading is a common mistake made by many traders. This involves taking too many trades, which can lead to losses if the market turns against you. Look, all traders love the price action. It’s exciting to take a position and watch your P/L go up and down. But don’t become addicted to the price action for the sake of just having a position. It’s important to only take trades when the setup is right and avoid over trading.
Not Diversifying Risk:
Diversification is another important part of risk management. By diversifying your trades, you can spread out risk and limit potential losses if the market turns against you.
Why is Risk Management Important in Trading?
Risk management is a critical factor in success when trading in the markets. It involves understanding and controlling what could potentially impact your trades and actively analyzing scenarios that may occur.
Without proper risk management, traders are leaving themselves vulnerable to potential losses which could be catastrophic for their investments.
Good risk management also allows traders to effectively assess opportunities and make better decisions that take into account volatility or leading indicators of future market performance.
Simply put, risk management can provide peace of mind so traders can enjoy the highs of profitable investments while minimizing losses when markets start to dip.
What are Some Common Risk Management Strategies?
Common risk management strategies used by traders include setting stop-loss orders, limiting capital exposure, and diversifying investments to minimize volatility.
Another essential approach for traders is to set predetermined targets for both profits and losses to help stabilize your exposure. To further limit potential losses and maximize gains, traders should always be aware of economic news and other world events that might affect the market.
How to Implement Risk Management in your Trading Plan
Implementing effective risk management into your trading plan is incredibly important for successful and profitable trading. It can help you to control the amount of draws you take in any given trade, and it can also protect against large losses which could potentially wipe out your entire trading account.
A good risk management plan should include determining the amount of capital at risk on each trade, setting predetermined stop-losses to limit downside exposure, and having a strict, disciplined approach towards minimizing losses:
never increasing position size
never risking more than you are comfortable with, and always controlling potential risk-reward ratios.
Taking the time to set up a comprehensive yet flexible risk management plan will put you in a better position when it comes to positive returns in the long run.
Risk management is an important part of trading. It allows you to trade with less stress and more confidence. There are many different risk management strategies, so it is important to find one that fits your trading style.
Proper risk management can help you make money in the long run by preserving your capital and preventing you from making careless mistakes.
© 2024 Global View