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Trader's BASICS: What is Inflation ? in 1 minute

One thing I learned throughout experience, things get complicated because the simple basics are missing. Whether you are in the money business or software development, when things get very complicated, always remember: "TIME TO GET BACK TO BASICS".
Always Recall this:
  • AMATEURS COMPLICATE THINGS, PROFESSIONALS SIMPLIFY THEM

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Olga18375 avatar

thanks for interesting information

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Gold - Long Term Trendline


Gold was trading to the downside quite nicely over the last few weeks, after we managed to put in place a top around $1300 level, this level was suggested as a possible top on my last update about Gold which you can find it here: Gold Down- Channel
Despite all the geopolitical tension, the Greece debt crisis, ECB QE programme and many other factors, Gold couldn't find a bid in the market and that's reason enough to conclude that the current bearish trend is still reinforcing itself and Gold is …
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Gold Down-Channel


Last time I was speaking about Gold it was trading near an important inflection point, see more here: Gold Inflection Point
Even thought I was drawing the point that the probability suggest we should continue lower, I have also been advice if we broke the trend-line that connects the 2012 highs we should take the breakout with a long position. The initial breakout lack momentum but only after SNB decision to abandon the 1.2000 EUR/CHF floor, Gold started to gain momentum.
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SalviLeana avatar

Great job :)

Daytrader21 avatar

SalviLeana Merci bien :)

Olga18375 avatar

Good luck!!!

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Consolidation in the sight

Currency Pair:Gbp/Usd
Indicators: technical patterns and Sma50(red)+ Sma200 (blue)
Current price: 1.5617
Trend: very strong downtrend
Possible trading range:1.5350 -1.5870
Signals: As long as the price stays below the 1.5870 level which represents the neckline of a massive head and shoulders pattern situated on the weekly chart, Gbp/Usd will be under constant downward pressure.
Fundamentals: The risks of deflation has increased in Europe as the oil prices continued to fall further and therefore …
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marius24 avatar

update: Current price - 1.5040 and the outlook seems to stay bearish for the time ahead. I think the price is aiming at 1.4835 target very soon. No chance so far for my target situated at 1.5652

marius24 avatar
marius24 19 Gen

update: Current price - 1.5147 and my target is a lot higher at around 1.5652. This prediction so far is against my view expressed by me a month ago

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I am still bearish on this pair

Currency Pair:Eur/Usd
Indicators: technical patterns and Sma50(red)+ Sma200 (blue)
Current price: 1.2226
Trend: very strong downtrend
Possible trading range:1.20-1.25
Signals: THe fact that a recent bullish breakout from a falling wedge has been ignored by the bears gives me a lot of reasons to be short in the following period. THat breakout has appeared at around 1.2440 managing to send the price not higher than 1.2570.
Fundamentals: THe interest rates in the USA are ready to make a first lifto…
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marius24 avatar

Update: Curent price- 1.1812 and the outlook remians very bearish due to a recent breakout to the downside at around 1.1876 of a bearish massive double top situated on the monthly chart.

marius24 avatar
marius24 19 Gen

update: Current price - 1.1618 and unfortunately my target situated at 1.2165 has little chances to be retested anytime soon,given the fact that the QE will be a sure thing on 22 Jan

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Consolidation with bearish outlook

Currency Pair:Eur/Cad
Indicators: technical patterns and Sma50(red)+ Sma200 (blue)
Current price: 1.4211
Trend: consolidation
Possible trading range:1.39-1.4450
Signals: The price managed somehow to recover all the lost ground from 1.4265 to 1.3886 in just few days and now the battle is given at around 1.42 where a downtrend line kept so far the bears in place. In case the bears break this resistance then the next target will be 1.4450.
Fundamentals: If the oil's price continues to fall then the…
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marius24 avatar
marius24 10 Dic

update:eur/cad has been traded in a relative tight range between 1.4267 and 1.3959. In order to advance higher the price must breach a downtrend line situated at 1.4218. Anyway any bullish attemtps will be short-lived and i remain in favour of seeing more sideways move in the next period.

marius24 avatar
marius24 18 Dic

update: a double bottom situated on the daily chart has been broken to the upside at around 1.4267 and sent the price higher at around 1.4646. So far this rally was a short-lived one, because the price right now is retesting the support at 1.4260. From here i will choose for a consolidation with a slight bearish tilt.

marius24 avatar
marius24 26 Dic

update: the 1.4267 support failed to keep the bears in control and therefore the price fell once again in the 1.4128 area very close to the bullish breakout  from that descending channel. My target is just around this current price at 1.4123

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EUR/USD Long Term View

Last time I've spoke about EUR/USD was on my latest webinar, that I had to do after coming in the second place in Article contest, and I spoke in more details about the chart I posted in this blog post: FED tappers Effect
Although the chart I posted suggested you should go long EUR/USD, the trade was only good for 100 pips, but on my webinar I've said that we also need a weekly close above 1.3800 which we have not, so that trade was invalidated but still you could have made 100 pips.
Also , my s…
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Metal_Mind avatar

Uuuuu.....this is one comprehensive analysis. Well it definatly looks hard for the euro to break the barier.

Metal_Mind avatar

The us dollar index  looks almost to good to be true...but who know, i will definatly keep it on my radar waiting for the big move. Thanks buddy for the great insights.

Daytrader21 avatar

Thanks buddy, you're right timing is very important on this one

Berkeley avatar

I can't get enough from your blog posts! Impressive work here!

Daytrader21 avatar

Berkeley you da man, Thanks for your good words.

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ECB Monetary Policy Statement

This is definitely the most awaited ECB meeting since awhile. After weaker EU inflation reading, the CPI figures came in worse than expected at 4 years low, at 0.5% and is well below the ECB's 2% target. Although ECB may feel some pressure as inflation hits new lows, I'm not sure if ECB is going to easing or not as there is no clear view if they are
ready to act and tame down deflationary pressure.
ECB is pretty stationary when it comes to the perception of his monetary policy standing.

A…
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Convallium avatar

            You always write good and useful things! thank you, Daytrader21!

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ECB would do well to keep rates on hold.

ECB would do well to keep rates on hold. For now.
After yesterdays belated market focus on the underlying problems in managing a single strategy for the whole eurozone, it put into sharp focus the policy options facing the ECB. The west has had a ferocious and deadly enemy for the last 40 years, and it was called inflation. All the ammunition and strategy has been directed towards killing this enemy, and the threat has – for the while – gone away. While this battle has been raging however, a new…
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mag avatar
mag 4 Nov

Difficult to persuade the Germans and that changes the ECB

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