Big moves, what to do next? – Forex Mentor Pro

Hi all,

I have posted my analysis for the week ahead. We had a lot of movement this week, as expected. However, the NFP report had the most impact; it came worse than expected and nowhere near the forecast. Hence why we saw the $ tumble. The stock market went down (NASDAQ, SP500, etc), and Crypto and TNX were all down, too. This is because money is flowing out of risky assets and moving into safe havens due to recession fears.

$2.9 trillion (£2.27 trillion) was reportedly wiped off global stock markets, according to a financial expert. It was the worst day for stocks since March 16, 2020, during the COVID-19 pandemic fears.

Global recession fears explode as ‘£2.3trillion wiped off stock markets’ in single day

We got the big moves and a direction, so what to do next? Well, it’s simple: just follow the trend. I have marked up areas of support and resistance looking back in the past on most of my charts. I then went on from the Daily timeframe to 4HR to zoom in and get better entries, and follow the trend. The trend is your friend. Don’t try to counter-trend trade as it is more risky, and you don’t know where the price will stop if it is in an uptrend or downtrend.

I will not enter the market open but wait till NY opens on Monday and then decide what to do. We need to be sure if this is the start of this big move on the $ or if it will retrace back into the channel on the DXY.

DXY closing outside the channel on Friday on the weekly chart, If you look closely it has stopped near the 78.6% level. This is usually the last place we look for a bounce back, so I want to be sure before entering on Monday.

 

 

 

 

 

 

 

 

 

 

 

The Forex Week Ahead+++++++++++++++++++++++

Next week looks very light in terms of news. We have bank holidays at the start, and then Australia announces its cash rate on Tuesday morning. So make sure not to trade AUD pairs until then. On Thursday, USD unemployment claims could have some volatility as a lot of attention is going to be paid to employment figures to see if things are slowing down. Lastly Friday CAD announce their employment figures.

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MAJORS

Remember I am looking for “A” grade trades from weekly & daily charts that I can place the orders and then just walk away. A “B” grade is of interest, but not an A yet. I will watch on 4 hour timeframes to see how price reacts if it hits my zone after the news is released.

There is a danger that the $ will rebound, so keep your eye on the Index and only be in one trade versus the dollar at a time.

EUR/USD:  The long would have worked at 1.08 but NFP stopped us from taking it. I will look for a short near 1.0950 for multiple reasons.

USD/CHF: Short on 4HR at 0.8750

Do not take the Euro/$ & Chf at the same time. They are correlated so it’s the same “bet.”

GBP/USD: Messy now and between EMAs, leaving it alone.

AUD/USD: A grade short at 0.66. Intra day 0.65560 is interesting.

NZDUSD: A grade short at 0.60440. Also watch 0.59760.

USD/CAD: I would look to long near 1.37400. Intra day watch 1.38 as it has bounced off there several times recently.

USDYEN: Needs a pullback, watch the video.

CROSSES

Some are A grades, where I will place forward orders; some pairs have “areas of interest.” I have a lot of similar crosses, so be very careful with the correlation.

EURGBP: Not the best, but 0.85570 looks interesting for a short time for multiple reasons. Also watch 0.84700 for a long on 4HR

EURAUD: Long at 1.64250

AUDCAD: Similar to AUDUSD, short at 0.9080, which is interesting, but wait for the news.

EURCAD: leaving alone.

GBPCAD: Interesting for the short in the current area, but I will wait for a confirmation.

NZDCAD: I will wait for the trendline break on 4HR; watch the video.

EURCHF: Short at 0.95000

I have quite a few other “possibles” that I will monitor during the week. See the video. I also show areas where I will be interested to buy crypto and metals.

As always, remember correlation! 

New members, please note: If I am looking to take a trade long, for example, 1.5000, I place my order 10 pips above & 10 pips below for a short. This is because price often does not quite reach a major line and you need to allow for spreads.

We are NOT a “tipping service” we aim to teach you how to trade for yourself.

Watch the video below for more detailed explanations of this week’s analysis and trade plan.

To find out more about our crypto journey check out the mini-course and if you want to get involved in what I believe is the next boom, scroll to the bottom of the page to find out more: CLICK HERE

I am currently on holiday in the Canary Islands. I recorded the video early Saturday morning. If anything extra ordinary happens over the weekend I may need to revise my plans and Ashley or I will update you in the forum.

You can watch the full video below, you can read the transcript or view the full screen by clicking the buttons below the video:

Kind regards,

Ashley