MARKET UPDATE 1
TWITTER TRADE ALERTS
Hopefully, by now you know enough to scan you forex news calender before each trading day. As I stated yesterday we had a G7 Meeting all day and today we have a G-20 meeting through the weekend. Refer to my post yesterday if you have question of what a G- meeting is.
G-7 or G-20 the only difference is the number of nations participating.
For that reason I am keeping the load light but the bigger reason is that when I look at my 4 hr chart I see consolidations and it remains to be seen if we will have breakouts of the ranges that have been established over the last couple of days. The eurusd broke out but that move was not tradeable unless you wanted to take a big risk by taking a position before or on the news.
We are still with our remaining 3 positions from yesterday and I have seen nothing compelling to induce me to carry a heavier load. G- meetings mean indecision and indecision means markets bouncing off of support and resistance levels.
Also, it is particularly not a good idea to hold positions over the weekend of a G- meeting because you don't know who they will decide to push up or push down per their agreements at the meetings. So, again, I know that signals and sup/res, sup/dem, etc... are all important. But, we still need a basic understanding of the meaning of geopolitical events as news moves the markets. False moves in the markets caused by large interests are the rule and not the exception.
Inside bars are the favorite ploy of deception. Many times a market will swing up and down several times and all of the up and down moves occur within the range of a single bar. If there are 10 bars in a row and none of those 10 bars closed outside the range of the first bar, THAT MARKET AIN'T MOVING DUDE!!!
If the range of the mother bar is large enough we can trade that range but, in the context of movement, THAT MARKET AIN'T MOVING DUDE!!! It's like an athlete doing a stutter step before breaking off his/her real move. There is a hell of a lot of movement in the stutter step. IN fact, more movement than the true move, why? Cause it's a fake dude...It's a fake!!!
Listen, the stuff I tell you are not concepts that I'm working out. It's already been done so, you can listen to the theories of your buddies on the forums or you can just take plain common sense and believe your own eyes when you look at charts. I could write a whole book on just inside and outside bar trading but I've got enough in my materials.
