Howdy Traders,

Looks like I was being a little too cheap with CHF/JPY at $81.70. Today the Franc rocketed 200+ pips off $81.86, and hasn’t looked back yet. My planned profit target was $83.70 but since the market has blown through that price level, there is nothing left to do here except move onto the next trade. Hopefully some of you caught the round number bounce around $81.90.

GBP/USD Testing $1.52

It’s decision time for GBP/USD as a triple top has formed along resistance at $1.52. The currency has failed to close above the $1.52 handle since the last bargain day setup on the 5th of July. The currency has formed a triple top formation along the minor daily chart trend line, and it’s do or die time in my opinion. Our HMA trend indicator is starting to rollover, and appears prepared to turn bearish if a significant break above $1.52 doesn’t materialize tomorrow. Here is today’s chart:

Best of luck,

Ryan

IMPORTANT NOTICE: These comments are for information purposes only. My opinions or other information contained in this post do not constitute investment advice. It should not be understood as a direct recommendation to buy or sell any currency contract or other investment vehicle. Forex trading involves substantial risk of loss and is not suitable for all investors.

Howdy Folks,

I changed the blog layout again, I thought the old style was a little too busy. I think the new layout is a little cleaner, but I’m still not 100% happy with it. Let me know what you think, did you like the old blog better?

Swiss retail sales posted a 3.8% increase versus an expected 2.7% increase on Monday. The reaction in CHF/JPY was counter intuitive as CHF sold off Monday. This places CHF/JPY in what I refer to as bargain territory, and I’m looking for a buy. In today’s chart you can clearly see a rising trend line with Monday’s candle closing below a bullish HMA. I’m interested in $81.70 which is slightly below S1, and slightly above the trend line. Here is today’s chart:

GBP/USD Thoughts

I’ve posted my thoughts on GBP/USD over on FXStreet.com. If you are interested in reading that post, you can visit this link:

http://blogs.fxstreet.com/dayjobtrader/2010/07/06/gbpusd-in-bargain-territory-will-it-move-higher/

GBP/USD is in bargain territory, but I think the currency pair has some room to move lower. The major price level $1.50 is only a few hundred pips away, and I think this will be tested at some point this week.

Best of luck,
Ryan

IMPORTANT NOTICE: These comments are for information purposes only. My opinions or other information contained in this post do not constitute investment advice. It should not be understood as a direct recommendation to buy or sell any currency contract or other investment vehicle. Forex trading involves substantial risk of loss and is not suitable for all investors.