DAX false break out, nose diveGerman Dax index was ahead of the 10.000 point big figure, after a false break turns down heavily...
Falsebreak
Gold Sell SignalSpike or false break above the last high together with divergence and we have a sell signal.
For a more conservative entry wait for the trend line break
Target 1: $1100
Target 2: $1090
Stop Loss: Above $1135
Holidays Season Trading - Increased volatility and riskI've been asked a lot about trading during Holidays Season.
There are several things you need to be aware of if you intend to trade during Holidays Season that starts this week:
1. Low liquidity - Market is thin as banks, funds, institutions and pro traders take time off
2. Unexpected moves and increased intra-day volatility. Aggressive price reaction to minor events.
3. Frequent False Breaks - Especially in volatile pairs like $GBPNZD
This $GBPNZD chart is a great example of how 300-400 pips range with 3 major structure zones held for more than 2 weeks. Notice the multiple False Breaks to all structure zones.
In order to manage through the Holidays period here are 3 tips:
1. Use smaller positions size.
2. Use wider stop loss - Focus on Major structures and trend lines
3. Take profits on short term targets and move stop loss to BE.
Tomer, The MarketZone
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Major weekly false break - What's next$FAS is testing the bottom of a weekly channel. Critical support zone to watch but on the longer term, I'm bearish
GBPAUDReferring to my earlier analysis on the daily chart for this pair in the link below, this market has gone deep into the identified support zone and pushed beyond the lower end of the zone before rallying back up into the zone at the point of writing this post.
The candle in H4 chart is not closed yet. Will wait and see if this is the false break I have been waiting for to send the price up.
USDJPYLast week, market tested and broke resistance zone around 102.75 three times but failed to close above it. From the chart, we can see the three candles with long upper wicks showing rejection of resistance zone. Will be looking for short opportunities from any retracement back to 102.75 level.
