AAPL Still Keeping Above Monthly 10 Simple Moving Average

Apple Inc Stock Monthly Chart Showing 10 Month Simple Moving Average

Here is Apple Inc. (AAPL) monthly stock charts with a 10 Month Simple Moving Average overlaid on it. This long term strategy is simple. Buy when the candle breaks above the Moving Average, Sell when it breaks below. We only need to check at the end of each month. Looks like for this month it going to remain above the Moving Average, unless there is a massive sell-off before the month is done.

Possible Bearish Flag Spotted On EUR/USD Daily Chart

EUR/USD Daily Charts Showing A Possible Bearish Flag

Just spotted a possible Bearish Flag chart pattern (see magenta circle) forming on the Daily Chart of EUR/USD. The downward slopping channel marks out the current bearish trend. If the flag breaks downwards it will be following the big-picture trend. If it rebounds off the upper channel line it'll provide even better confluence. Target the lower channel line.

Today's Volatility Squeeze On AUD/USD 5-Minute Charts

AUD/USD 5-Minute Chart Showing Volatility Squeeze

 Here's today dose of the Volatility Squeeze Pattern on AUD/USD pair on the 5-minute chart. Note the squeezing of the Moving Averages towards the apex of the triangle and also the almost sideways small range candles before the breakout. In this example there was a prior breakout of a horizontal resistance area before price pulled back to test the former resistance as support again. A confluence of factors, which is always a good thing to have in a trade setup.

Another Volatility Squeeze Spotted On AUD/USD 5-Minute Charts

AUD/USD 5-Minute Chart Showing Volatility Squeeze

Looking at the chart above, we see once again, the Volatility Squeeze Pattern on the 5-minute charts of AUD/USD this afternoon around 1pm Singapore time. Please note the following:

1. There is an obvious pre-dominant trend, down in this case, which you can mark out using a trend line


2. There is a consolidation and pullback phase. This can be marked out using an up slopping trend line.


3. Close to the apex of the triangle, the candle range becomes small


4. The moving averages converge together into a tight squeeze (see blue circle)


5. The moving averages are all located to one side of the candles, in this case, above the candles. This gives you a clue that the breakout will be down


6. The Bollinger Band width becomes narrow (see blue circle)


7. Standby a sell order just below the up slopping trend line waiting to capture the breakout.

Falling Wedge Trade On USD/SGD 4-Hour Timeframe

Falling Wedge Trade On USD/SGD 4-Hour Chart

Just completed a trade on this pair, USD/SGD, 4-Hour timeframe. The take profit order was triggered automatically while I was asleep around 4:50am this morning. This trade was taken as a result of a Falling Wedge Chart Pattern spotted one week ago. Once it moved up the same amount as the number of pips risked for my stop loss I took my first profit, set my stop loss to break even and let the rest of my lots run to my second target. A total of 189pips for this trade.

Volatility Squeeze Again, on AUD/USD, 5 Minute Chart

Volatility Squeeze On AUD/USD 5-Minute Charts

Here's another example of a Volatility Squeeze setup. Points to note:

1. There was a prior trend, that formed throughout the day, today, which was down.


2. The candles always converge towards the apex of the triangle (See the white trendlines)


3. The Moving Averages start to converge and then spread apart. (See blue circle)

Wait for the candles to break out from the triangle to enter a trade.

In this picture also, there is a bearish flag (see red circle).

After the price broke out strongly, it consolidates for several candles, before breaking out again. You will notice that:

1. The candles during the consolidation are distinctly smaller than the high volatility candles presiding them.


2. The consolidation period is short.

This is an example of a particular form of price behaviour, that price movement alternate between periods of high volatility and low volatility. It is good practice to wait for the price to get into the low volatility mode before looking for a trade setup.

Volatility Squeeze Patterns

Some of the best trades occur when this pattern appears. It is called a Volatility Squeeze. Please refer to the picture below of the AUD/USD 5-Minute Chart.

AUD/USD 5-Minute Chart Showing Volatility Squeeze

Key elements to look out for:

1. There is a dominant trend line, usually it is longer and has a steeper angle.


2. There is shorter trend line with an angle that is less steep than the dominant trend line.


3. The two trend lines converge to form a triangle pattern.


4. Price range becomes progressively shorter as the candles approach the apex of the triangle.


5. Bollinger Band width starts to narrow as the candles move towards the apex of the triangle.


6. At least two Moving Averages (the more, the better) start to converge close to each other towards the apex of the triangle.

Wait for the candles to break out through the non-dominant trend line to enter.

Where is the USD/SGD going?

Where is the USD/SGD going?

Looking at the Weekly chart below, it has just broken above a 3-year long downtrend channel. The previous obvious support level was around 1.3450, where an obvious Double Bottom patterned formed (See blue highlighted area). So it is quite conceivable if the risk off sentiments were to continue, 1.3450 would be an obvious target.

USD/SGD Weekly Chart Showing Breakout Above 3-Year Downtrend Channel

Drilling down to the Daily chart, we see that there is a breakout after a Inverse Head & Shoulders pattern (see the blue circled area) formed. Perhaps it is the start of the up move towards the 1.3450 target.

Head & Shoulders Breakout On USD/SGD Daily Chart

Bullish Pennant Pattern Completed on USD/CAD Daily Chart

Update of the previous post where a potential AB=CD pattern was located.

Since then, a bullish pennant has formed and has completed with a breakout upwards. Please see the image below and blue highlighted area.

Bullish Pennant Breakout On USD/CAD Daily Charts

Bearish Flag Pattern Completed EUR/USD Daily Chart

Bearish Flag Completed On EUR/USD Daily Chart

Update of the previous post where a potential AB=CD pattern was forming with a Head and Shoulder pattern as well.

A bearish flag has seen developed and completed with a break down. Refer to the image above and the blue highlighted circle.

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Inverted Head And Shoulders On STI Daily

Inverted Head and Shoulder Within Inverted Head and Shoulders On STI Daily Chart

STI Daily chart showing smaller Inverted Head And Shoulders within a larger one. Also there was a bullish divergence showing on the MACD too.

STI Weekly Chart Showing Rebound Off 200 Week MA and Fib 61.8% Level

The weekly STI charts also shows that there has been a rebound off the 200 week moving average and also the 61.8% Fibonacci Retracement level. The Fibonacci was drawn from the low in 2009 to the high of 2010.

Another Potential AB=CD On USD/CAD Daily Chart

Potential AB=CD Pattern Forming On USD/CAD on Daily Chart

A potential AB=CD pattern is forming on USD/CAD on the daily chart. The pattern is expected to complete around 30 Nov 2011 and around the price range between 1.0823 and 1.0865. The 127.2% retracement of the the BC leg is at 1.0865 and AB=BC projection is at 1.0823.

Possible AB=CD Pattern Found On EUR/USD Daily Chart

Potential AB=CD Pattern Forming On EUR/USD Daily Chart

Potential AB=CD Pattern found on EUR/USD Daily Chart. Pattern is expected to complete on 02 Dec 2011, at price levels between 1.2844 and 1.2847. Currently price has rebounded off a long term uptrend line drawn on the weekly chart. Also it looks like a Head and Shoulders pattern is forming.

Possible AB=CD Pattern On GBP/USD Daily Chart

Potential AB=CD Pattern Found on GBP/USD Daily Chart

Found potential AB=CD Pattern on GBP/USD Daily Chart. Rebound off daily 200 MA and a possible Head and Shoulders Pattern forming. AB=CD pattern is expected to complete on 16 Dec 2011 at a price levels between 1.4820 and 1.4720.