ichi360

Ichimoku Weekly: GBPUSD 9th July 2010

ichi360 — Fri, 09 Jul 2010 09:46:06 +0000

Few important zones to watch out for GBPUSD …

Strategy: Where to place Stop Loss

ichi360 — Wed, 07 Jul 2010 10:24:29 +0000

Where to place Stop Loss and then when and how to move it with the trend. I thought the following formula might help you to understand how the concept really works …

Good luck.

Visual Example:

Formula:

Chande Kroll Stop: This indicator a potential stop for a position (short or long). It is displayed as a red and green line overlaid on the price chart. The green line is the stop level for a long position and the red line is the stop level for a short position.

Calculation:

HIGHEST[p](high) – x * Average True Range[p]

First low stop = LOWEST[p](high) + x * Average True Range[p]

Stop short = HIGHEST[q](first high stop)

The parameters which the user can set include: the number of periods for the calculation of the average true range (default:20), the multiplier in the formula (default:3).

Interpretation: This indicator a potential stop for any position (short or long). It is calibrated on the true range and for this reason, it is independent from the security’s volatility. Remember, true range is the highest in absolute value of the 3 following values: (Current bar High-Current bar Low) (Current bar High-Previous bar close) (Current bar Low-Previous bar close). The difference is proportional to the average True Range of P bars. It is possible to place a stop buy upon breakout of the upper band; and a stop sell upon breakout of the lower band.

Ichimoku Weekly: SP500 3rd July 2010

ichi360 — Sat, 03 Jul 2010 12:35:03 +0000

As identified in earlier posts, the 1250 Resistance is still alive and now the Index is quite close to its Mean Point at 1000

Depending on how we react at 1000 points, we’ll be able to determine the next Support Areas for SP500

ASX Updates: Mining Sector

ichi360 — Thu, 24 Jun 2010 10:34:40 +0000

With today’s dramatic developments of Kevin Rudd being replaced by Julia Gillard as the Prime Minister of Australia, we may have some serious money making opportunities in the coming weeks and months as these political moves may help the Aussie Mining Sector to fly on the upside …

The mining Stocks has had a drop recently because of highly unpopular Mining Tax being introduced by the Rudd Government and there are now hopes that Gillard Govt will work together with the Sector to reduce the Tax if not abolished completely …

Ichimoku Weekly: USD Index

ichi360 — Tue, 22 Jun 2010 11:01:00 +0000

Some important Support / Resistance zones for USD Index …

Strategy: Day Trading with Camarilla

ichi360 — Fri, 18 Jun 2010 23:34:56 +0000

A friend from Maldives has been talking about Camarilla Pivot Points for quite a long time and explained its relationship with the Fibnoacci Levels. However, I never understood the concept very well until he explained the whole process. The problem is that most of us think that its as easy as Buying and Selling when price touches the L3 or H3 levels … actually its not.

Those who love Fibos must look at how Camarilla can improve their Trading in general …

Camarilla helps you to determine the Upper and Lower channels for a day, you still need to ensure that you enter into trade at the best time. A combination of Camarilla, RSI and Moving Averages is all he uses … Timing and Patience are also quite important as you’ll have to wait for the price to not only reach to the Buy and Sell zones but also wait for the proper signal of price start trending …

Another feature is the ability to help you not to trade certain pairs / markets during a particular period / day. EURUSD chart below is the perfect example of why not to trade that pair on that day …

Hope you’ll find it useful …

Strategy: Simple does work

ichi360 — Thu, 17 Jun 2010 10:10:57 +0000

A friend from Belgium has kindly shared a system that works around the SMA 14 line … I thought some of you might find it useful.

Strategy: Long Term or Short Term

ichi360 — Thu, 17 Jun 2010 09:50:02 +0000

I just thought I would post a couple of charts I prepared few weeks ago when I was working on a Long Term Trading system for myself. I know that there arent many traders around these days interested in Longer Term Trading strategies but still I thought it might be worth sharing here …

BTW, I’ve yet to understand why people think that you need deep pockets to trade on larger TF … why cant long term trading be done on Mini or even Micro Lots ?

Opinion: What drives Share Price ?

ichi360 — Thu, 17 Jun 2010 09:34:35 +0000

I’ve always wondered what actually drives Share Prices of companies … I dont think its anything to do with luck. So for example if Apple’s shares are on fire, its definitely because of their innovative ideas and the kind of things they have done lately.

Here in Australia, there are some stocks which are considered favourites among the Investors. Such as Woolworths (Grocery Stores similar to Walmart in USA) is known as the favourite stock of Mums and Dads. With so much funding, backing from Govt and all the Monopoly that Telstra enjoys in Telecom Sector you would think that this Stock must be on Fire too … but unfortunately thats not the case with Telstra.

While almost all the big names (ANZ, Commonwealth Bank, BHP, RIO and etc) in Australia had a great Rally in 2009 Telstra never recovered its losses and has been in Bearish mode since June 2008. I never knew the answer until I myself had to deal with Telstra recently …

A Telecom Company that needs 3 business days to reply to your emails, 8 days to send their Technician to your place and the company that changes their appointments on everyday basis … with this sort of performance, inefficiency and business practices I wonder if it would be possible to set your share prices on fire ?

SP500: Locked in a Range

ichi360 — Tue, 15 Jun 2010 10:32:30 +0000

S&P500 Futures is still locked inside a 4H range … perhaps the reason why majority of the FX Pairs are following the same pattern …