FX, TLs and TC

I’ve noted over many years how trend trading is better off shorter time frame charts during the European and US sessions when the FX Indices are divergent, as they are currently, and last night was a quintessential example of this phenomenon. My TC Trigger continues to be a great help with identifying trend line breakout trades and there were 6 of these since my post from yesterday, all triggering whilst I’m not around.

USDX daily: there is Flight to Safety chat about the moves seen across Gold and Yen pairs but it’s not evident with the US$! Another down day after respecting the top of the Ichimoku Cloud and recent trend line.

Gold and Silver: Gold is honing in on its major 6-year bear trend line but Silver has broken, tested and now bounced of its 6-year trend line. Both gave great opportunities off either 14 ‘ or 30’ charts overnight:

Gold 4hr: a trend line breakout above $1,265 for 90 pips. The major 6 year bear trend line is just above and near the $1,280 level so that is one to keep in focus in coming sessions:

Gold 30 min: note the flat trading during Asia and much of the early European sessions. A different story for US traders though with my TC indicator offering a great signal here!

Silver 4hr: I noted the test of this major 6-year bear trend line in yesterday’s post but now note the bounce off this resistance-turned-support:

Silver 30 min: a decent TC signal here:

Silver 15 min: and a decent TC signal here too!

Other Trend line breakout signals:

EUR/JPY: this pair has broken a daily support trend line giving up to 90 pips:

E/J 4hr:

E/J 30 min: a 30 min TC signal was productive here:

E/J 15 min: a 15 min TC signal was productive here:

USD/JPY 4hr: a recent support trend line has been broken for 55 pips BUT note the daily chart’s wedge trend line now just below current price:

GBP/AUD: a 100 pip spike move here after a trend line breakout:

G/A 4hr:

G/A 15 min: the 15 min chart would have helped leg into a trend trade here:

GBP/NZD 4hr: a trend line breakout here for 120 pips since my post from yesterday:

USD/MXN 4hr: a trend line breakout gave over 600 pips but note the recent trend line above current price:

Other FX:

EUR/USD 4hr: there hasn’t been much progress here:

AUD/USD 4hr: nor here:

AUD/JPY: this pair has fallen to a daily support trend line and will be the level to watch for any make or break. The 30′ and 15′ charts gave decent TC signals overnight though:

A/J 4hr:

A/J 30 min: a 90 pip TC signal:

A/J 15 min: a decent TC signal here too:

NZD/USD 4hr: Interestingly, this pair is going nowhere at the moment!

GBP/USD: the Cable has rallied up through the 4hr chart’s bullish descending wedge but keep the upper daily chart trend line in focus tonight for any make or break with GBP Employment data. The 30 min chart gave a decent TC signal overnight:

GBP/USD 4hr:

GBP/USD 30 min: a 45 pip breakout move:

GBP/JPY 4hr: this pair is back down at a major support trend line so watch for any make or break:

USD/CAD 4hr: holding pat ahead of today’s CAD interest rate update:

EUR/AUD 4hr: chopping sideways:

EUR/NZD 4hr: consolidating before the next move?

USD/CNH 4hr: trend lines adjusted here:

USD/TRY 4hr: I’m not surprised to see a bit of  a pause here at the daily chart’s Flag trend line and ahead of this weekends Referendum. Watch fib levels for any continued pullback move:

 

By Mary McNamara

Source: tradecharting.com

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