Gold

Gaining for the 3rd week in a row (only 2nd time this year), the precious metal took out the $1700 barrier for the first time since March this year, gaining almost $35 on Friday alone.  I suspected short covering on the initial structural breakout back at $1633 and the metal has not disappointed since.  That plus the likely accumulation building over the summer will continue to underpin the metal.

I've been long since $1633…

EURAUD

Today the EURAUD has formed a daily close and Kumo Break (to the topside) for the first time in exactly two months  Virtually all Ichimoku components are bullish with the chikou having crossed the price line, tenkan above the kijun, the kumo break, thus the only things left are for the tenkan and kijun to pierce through the kumo along with the chikou as…

AUDUSD

Forming an inverted pin bar last Friday to end the week, the AUDUSD sold off strongly today on low volume forming a marubozu candle.  In the process, the pair closed inside the daily kumo with the chikou span crossing the kijun line today which further adds to the bearish Ichimoku picture.

With…

AUDUSD

In my last weeks market commentary, I wrote about the Aussie breaking the Kijun-Sen and closing below it on the daily charts for the 1st time, suggesting short term bearish momentum should take over.  This is exactly how it played out with the pair selling off 3 of the next 4 days while even rejecting off the Kijun.…

AUDUSD

Selling off 8 of the last 12 days, the Aussie has been hemmed in by the Tenkan since the 14th of this month which is quite unusual considering its been in a solid uptrend since the beginning of June.  I commented about this last week on how I suggested a break below 1.0400 and the channel bottom (held in…

EURUSD

After bottoming on the year with an engulfing reversal bar, the pair has gained 4 of the last 5 weeks for the first time this year.  The bulls were on parade all last week till they ran into the weekly 20ema before being rejected back 81pips from the highs.  So far this year, the pair has closed all but 3 weeks above…

AUDUSD

I am going to comment on this pair from an Ichimoku and Price Action perspective.  Ichimoku first.

Although the pair is above the Kumo and Kijun, it has been sandwiched below the Tenkan for 8 days now. By itself this…

EURUSD

For the last  7 days, the price action for the Euro has been stuck inside a 125pip range playing see-saw with the bulls and bears changing color almost daily.  This could be due to typical August / low volatility, investors waiting for their CB's to hit CTRL+P and help Bank Executives save the ailing banks and…

EURUSD

After the massive losses in the Euro from mid-April to mid-July,  the pair has been forming smaller price spreads (in the downtrend) while the bulls in the counter trend move are starting to out strike the bears. This to me is suggestive of an exhausted 3-mos down-move finding no new bears (at the moment). This has led to the bulls demonstrating some ability to take short term control as they continue to build higher lows and higher highs with greater…

EURUSD

After forming a new yearly low last week, the pair produced its strongest 3 day climb (from top to bottom) for the entire 2012 year which is impressive considering the economic situation is far worse than it was in 2011.  I suspect this was more of a short squeeze than anything, and am really just waiting for the shoe to drop (any) which means either Spain asking for another bailout and admitting they are broke, Greece leaving the EZ, or Germany not…

For all those traders interested or currently trading Ichimoku, you will not want to miss this article.

Although I am heading out in a few hours with my girlfriend to Harbin Hot Springs, I wanted to write a brief introduction to Ichimoku Number Theory as there has been a lot of questions (and confusion) about ichimoku settings, time…

EURUSD

After starting last week with a daily tenkan-kijun cross last week, the pair formed a bullish outside bar after a one section and one day move (using ichimoku number theory) which we had talked about last week in our forex market commentary.  The last time it formed a bullish outside bar on the daily charts ironically was after a one…

EURUSD

After forming a medium bearish tenkan cross on July 5th, the Euro has remained relatively below the tenkan the entire time, suggesting strong momentum behind the selling with constant pressure.  However, besides the large 2-way doji bar 2 candles back, we are suspecting a possible pause in the downtrend.

This is mostly based on daily and 4hr …

EURUSD

After climbing for almost two sections (17 in ichimoku number theory), the Euro failed to continue gaining, telling us this recovery had little underpinning to it.  The Chikou not only found resistance at the price line (bearish), but also found resistance at an area where it once held as support.  It still has yet to clear the price line, which is one of the few majors failing to do so.  That plus the strong Kumo ahead, along with the…

EURUSD

Looking back at the structure of the price action, the bounce off the yearly lows looks rather corrective in nature, even though there pair was extremely oversold.  The selling was highly impulsive, while the buying (while having its moments), in the larger scheme of things is more corrective in nature.  You can see this reflected in the angle of the price action behind…

GBPJPY

The beast (otherwise known as the GBPJPY pair) has gained 10 out of the last 12 days communicating the bounce off the lows has some decent buying behind it.  What is interesting to me from an Ichimoku perspective is how 3 of the last 8 days the dips touched to the pip the daily tenkan line, finding support there and closing higher off each…