March 16th, 2009
By: Ashley
We have several indications of trades today, but we are only going to place trades on one pair today.
Our trading methods indicate potential shorts on EUR/USD, AUD/USD, and USD/CAD. Also, there is indication of potential longs on the USD/CHF, and USD/JPY.
We are passing on the EUR/USD. There may be some downside potential, but there was a gap down on Sunday's open, and the price is trading near the low of the past few years. If we were to take this trade, we'd probably go short at market, with a stop loss set at 1.2850, and with a take profit of 100-200 pips. For short term trades, we'd probably go short at market with the same stop loss, and as soon as we were in the profitable territory by 20 pips or so, we'd move our stop loss into the profitable range by at least 5 pips.
The AUD/USD looks like there is some downward potential. We placed 2, 1-lot orders to sell on a stop at 0.6470. Our inital stop loss is 0.6540, and for one lot we are placing a take profit order at 0.6400.
The USD/CAD shows indications of a potential short, but as we look at the charts, we feel it has more potential to trade sideways or possibly go up. If we were to place this trade, we'd place a sell stop order at 1.2271, initial stop loss at 1.2495, and a take profit set at 1.2169. The risk/reward ratio here isn't that great, so we are going to stand aside.
USD/CHF shows some short term small upward movement. If you want to go for a quick hit of 20 pips or so, then go long at market with a stop loss set at 1.1570. When the price moves into the profit range, move the stop to lock in some profits, or set a trailing stop to follow the upward movement. However, we feel the sideways trend is to strong, the potential for profit is small, and the risk isn't worth taking. We are standing aside.
The USD/Yen shows some potential on the upside. We are placing two 1-lot buy stop orders at 92.10. Our initial stop loss is 91.27, with a take profit of 93.15.
Check back tomorrow to see how our picks make out!
IMPORTANT NOTE: These are not Forex picks nor Forex recommendations. This information is provided for educational and informational purposes only. Use this information at your own risk. You MUST apply your own trading methods and your own opinions to an Angel Pair Pick to determine if a trade should be considered. Also, you do not need to trade all of the Angel Pair Pick pairs, nor should you. There's no need to place more than a few trades on any given day and our recommendation is when you get to 6 open positions, don't add any more trades until one of them is closed out.
Note: Forex, futures, stock, and options trading is not appropriate for everyone. There is a substantial risk of loss associated with trading these markets. Losses can and will occur. No system or methodology has ever been developed that can guarantee profits or ensure freedom from losses. No representation or implication is being made that using Angel Pair Picks will generate profits or ensure freedom from losses.
