analyst75

Here’s the market outlook for the week: EURUSD Dominant bias: Bearish This pair tested the resistance line at 1.1400, and went above it briefly. Price could not stay above that resistance line: It tumbled by 500 pips before a 200-pip bullish correction occurred on Friday. The bias is bearish, and further bearish movement is possible, but it may not be more than 300 pips downwards. Price might also journey upwards this week, owing to the fact that the extreme bearish movement that occurred on Friday could bring opportunities to buy. USDCHF Dominant bias: Bullish USDCHF was essentially a flat market in the context of a downtrend, before the strong bearish movement on EURUSD forced it to break out upwards. Price moved upwards 250 pips, reaching the resistance level at 0.9800, and the got corrected by 100 pips. For the bias to remain bullish, EURUSD needs to continue moving south; because the events affecting EURUSD are what would determine the movement of USDCHF (which is being currently affected by inertia on its own). GBPUSD Dominant bias: Bearish On Friday, June 24, 2016, Cable experienced its strongest bearish movement in recent years. Price dropped by 1700 pips, reaching the low of 1.3230. Price later performed a 500-pip bullish correction, later closing at 1.3682 that Friday. Normally, the outlook on GBP pairs is bearish, and continuous selling pressure on Cable is a possibility. However, the extreme market situation would also bring some opportunities to go long, for those who are very good at catching falling knives. The markets could open with gaps next week. While things are currently bearish on GBP pairs, recovery would gradually or smoothly return to the markets. USDJPY Dominant bias: Bearish The Brexit votes outcome also had bearish effects on JPY pairs, and that was exactly what brought about a bearish momentum on USDJPY, which was consolidating in the context of a downtrend prior to that time. What happened to this market on Friday simply brought more emphasis on the long-term bearish trend, which is also visible on the daily and weekly charts. Although the outlook on JPY pairs is bearish, the 700-pip decline that was witnessed on Friday would bring about a rally within the next several trading days, as bulls seem to have reached the end of their tether. EURJPY Dominant bias: Bearish This currency trading instrument dropped 1200 pips on Friday, thus forfeiting the 350-pip bullish gains it saw within Monday and Thursday. The bias on 4-hour chat, daily chart and weekly chart is bearish, but price has already encountered very formidable demand zones on Friday. While selling pressure is present in the market, we may witness some bullish attempt in the next few weeks. This forecast is concluded with the quote below: "Look at market fluctuations as your friend rather than your enemy; profit from folly rather than participate in it." - Warren Buffet

GBP Pairs GBPAUD = Buy GBPUSD = Buy EURGBP = Sell GBPJPY = Buy GBPCHF = Buy GBPCAD = Buy GBPNZD = Buy JPY Pairs USDJPY = Buy AUDJPY = Buy CADJPY = Buy CHFJPY = Buy EURJPY = Buy GBPJPY = Buy NZDJPY = Buy NB: Every trade could be entered with a stop loss of 200 pips and a take profit of 400 pips. Only 0.5% is risked per trade. With an account balance of $20,000, a position size of 0.1 lots would be used. The breakeven stop is set after about 70-pip profit is made. A trailing stop of 100 pips is set after over 170 pips have been gained. You need to use your technical analysis to know when to enter, since you may want to trade a pair only after your entry criteria have been met. Disclaimer: Trading signals are provided for information purposes only and shouldn’t be construed as trading advice.

WHAT YOU NEED TO KNOW ABOUT MASTER TRADERS – PART 11 “If there are people in your life who do not support your efforts to become a successful trader, avoid them. Avoid those who express negative energy on a regular basis, and vent their hostilities towards you. Wherever possible, terminate unhealthy emotional relation­ships that cannot be repaired, and if necessary, do it immediately.” - Joe Ross Name: Brevan Howard Industry: Investment management Products: Hedge funds Website: Brevanhoward.com ONE OF THE LARGEST MACRO HEDGE FUNDS Brevan hedge fund was co-founded in 2002 by 5 experienced traders, although some of the founders have left the firm. The company was headquartered in Geneva in 2010. It opened an affiliate firm in New York in July 2012, called Brevan Howard U.S. Investment Management LP. In June 2013, the company was reported to be the largest European hedge fund management firm based on its total assets under management of around $40 billion. The company manages 11 funds and it maintains so high standards for trading success, that some traders who were dismissed from Brevan Howard have become “stars” at other trading companies. Brevan Howard has donated generously to Imperial College Business School, Alan Howard Scholarships for Energy Futures, and the ARK Bentworth Primary Academy. What You Need to Know: 1. According to Wikipedia, the company received $2 billion to manage in the global macro fund from Credit Suisse Private Bank. Under the leadership of Brevan Howard's founding partner, assets grew to $10.5 billion in 2006. The company generated a 25% return in 2007 and returns from their global macro fund continued to perform well during the financial crisis of 2008. 2. Alan Howard hedge fund has had many glorious years of nice profits, but not without losing years. In some years, the returns in terms of percentage were small and in some years, the losses were small. In some years, the losses were big. However, the firm has been hugely successful overall. Such is trading. 3. What are Brevan Howard investment strategies? According to founding partner, Nagi Kawkabani, the firm's overall strategy is focusing on near-term opportunities and establishing investment positions that are maintained for one to six months. As a macro hedge fund the company wants to make gains from broad economic trends and speculates on various assets including commodities and currencies. This piece is ended with the quote below: “I suggest, though, that no matter what percentage you choose, consider keeping it the same on all of your trades, because if you don’t you in are, in effect, starting to handicap your trades. When I cover this point in my webinars some of the attendees say to me, “I risked a higher percentage of my account on Trade A then Trade B because A looked better,” to which I respond ,” Why would you enter a trade that looked less than perfect and didn’t meet all of your trade selection criteria?” The reality of trading, of course, is that we never know which of our individual trades will work out. We only know that over a series of trades we should win “X%” of the time based on our particular trade selection methodology.” - Lee Bohl (Source: Trade2win.com)