Hello, everybody! I hope you have a nice weekend! Today's blog will be trading related. I'd like to take a moment to reflect on what we've done this week. The market has given us a lot of opportunities this week on which very nice profits could be made. We hope that you, just like me personally, made nice profits on this as well. But most of all, we hope that this week has shown you what is possible if you have mastered the TFD strategy! As a trader, we live for these market circumstances! Nice, clear, impulsive moves! As you already know, not every week is as impulsive as this one. For weeks like this, you need to be patient and above all, sharp, when the opportunities arise. I have seen that many of you were also very sharp on these moves, congratulations! We even had a member who was sharper than me on my own forecast, right Stijn? ;) A week like this, is one to remember, this week should be appreciated! Because market circumstances like these, can make your whole quarter/year. Realize this, 30% profit locked in one week, this is a percentage that is almost unheard of. The reason why these percentages are almost unheard of is because of the fact that a lot of people their minds are limited, they don't know any better. They invest their capital at the bank and what do they hear, you will make a few percentages profit per year (at best). As I just said, this limits their mind, that's why these people never look for other forms of investments that can potentially offer them a higher return. This is the difference between people who will have to work for their money in the future and between people who will make their money work for them. It is our goal to make all of you, independent traders so that you will be able to live up to the above mentioned fact of trading money for time in the near future! And a few of you are already doing this, a big congratulations! Let's take a look at the trades we took this week at the TFD Academy. First of all we saw the DXY (USD direction guide) showing Bearish signs. On the Weekly chart we had a very clear false break of the ascending channel. We got twice a clear rejection of the Daily 61.80 Fib. On the lower timeframes like the 4H we could clearly see that the Bears were in power! A very corrective channel was formed and broken. The beginning of the correction was reached in no-time! Below the before and after chart of DXY.
Because we had predicted that the DXY will be weak, we could of course respond to this. We were looking to sell the USD against the CHF at the beginning of this week. On the Weekly chart we saw that we were still forming lower lows and lower highs, we want to be in the management of the Weekly, so we kept looking for short set-ups. On the daily chart we had two clear rejections of the 78.60, this was our indication for short set-ups. The corrective ascending channel that was broken was our confirmation. Look at the resemblance of the DXY chart and the USDCHF chart! Below the before and after chart of USDCHF.
Not only did we want to sell the DXY, we wanted to buy the majors against the USD. This became the case for NZDUSD. On the Weekly we had a completion of the -68 Fib, the Bulls had caused a nice Bullish rejection wick on the Weekly -68, this was our indication. On the lower timeframes we had the confirmation, a Bullish M-pattern. We were already involved in NZDUSD last week and opened our second entry this week. Below the before and after chart of NZDUSD.
These were the DXY related pairs we executed this week. We also took 3 CAD pairs! The first one was EURCAD. On the Weekly we clearly saw a Bearish driver. On the 4H we had formed a clear S&D on the 61.80. We took a short position and we hit our 4H TP perfectly. Below the before and after chart of EURCAD.
We also took a short on GBPCAD. It behaved roughly the same as EURCAD above. The big difference was that our Bearish W pattern and our 4H S&D were much clearer! Below is the before and after chart of GBPCAD.
In the beginning of this week we were looking for a short on CADJPY. We realized we were in a risk zone, we were on the Weekly lows! We had risked half a percent on this trade because there were enough criteria to take a short anyway. Once the descending trend line was broken, we changed our bias and closed our position with a -0.2% loss. Below is the before and after chart of CADJPY.
After this -0.2% loss on CADJPY we remained neutral in the market and changed our short bias to a long bias without any problem. We had a very clear descending trend line break, and more importantly, an ascending trend line that protected our position. We had formed a 4H Bullish M pattern and had hit our TP level in less than 30 minutes after our entry! Below the before and after chart of CADJPY.
Our second NZD trade of the week was a long set up of NZDJPY. On the Weekly chart we also had the -68 completed. We received a clear rejection of our Daily S&D zone and received a Bullish M pattern on our 4H chart. After that we went smoothly to the beginning of the correction!
Below is the before and after chart of NZDJPY. The last trade we will review is GBPAUD. This is a trade in which I personally have spent 3 weeks! This is the reason why we swing trade and not day-trade/ scalp. With this trade alone I realized 13%. The GBP had gained strength by the end of this week and my trailing stop was hit for just over 13%. Below the before and after chart of GBPAUD.
To summarize this week, we simply had an excellent week with lots of opportunities! Consider this week as an instructive lesson, both for the people who have made huge profits this week, as well as for the people who missed these set-ups. Review this week so that next time these opportunities arise, you'll be sharp and able to take advantage of these impulsive moves. But most of all, let this week show you what is possible if you understand the nature of the market and master the TFD strategy! I hope you enjoyed this blog! Armani-Rochas Decock The Forex-Dictionary team.