LONDON CLOSE ROUNDUP

We end the week today with a story of renewed USD strength in line with the trend of the last couple of weeks.
USD made new highs against JPY, EUR, AUD and GBP after some early weakness after London opened. However the counter trend could never really get going and ranges were small before NY open.
JPY action was choppy, albeit a little more clearly defined against AUD.

It is always dangerous to guess tops and bottoms but it must be noted that EUR and AUD have significant support against USD at 1.2750 and 0.96 respectively. There have been some nice AUDUSD and EURUSD shorts lately but the trend will not go on forever without a pullback.

The best trades over the last couple of days from the strategies I discuss on my website, were, firstly the Demand Return EURUSD short that I highlighted yesterday. I did not take this trade as the signal candle on the 15 minute chart was very large (37 pips). However if you had entered immediately at 1.2911 with 1.2942 as the stop you would be up by a factor of about 3 to 1 now. I prefer to enter only after price action.

Another good EURUSD short trade which I missed highlighting today was a 200 EMA Bounce trade on the 15 minute chart. At 10:15 EURUSD returned to its 200 EMA on the 15 minute chart and quickly formed a small inside doji bar. Taking the break of this short would have netted you a maximum 87 pips of profit for only 7 pips of risk (a maximum factor of 12 to 1), and the trade would still be open.

I hope some of you were long USD this week. A relaxing weekend to all and some green pips next week hopefully.