Monthly Archives: August 2013

So the game is rigged… by whom?

Posted on August 29th, 2013 by

The concept of psychological levels were brought up on Skype today.  I remembered one rather eerie psych level that someone at a traders group brought up.  Take note of the bottom of the market with the SP 500 in March 2009.  Many are quick to point out it was $666.  This discussion came up when people were trying to predict the top of the market in May of this year potentially being $1666.  Let’s see that level on a chart…

Scared yet?  Is this who controls the market:

Or is it just a fun level for a lot of traders to think so and key in as their orders?


Read More >>

Singapore Stock Ichimoku Trade of The Week (16-8-13) C61U-SES CAPITACOMM

Posted on August 28th, 2013 by

We received a 3 timeframe buy signal for the Singapore Stock Capitacomm.

Below is the email alert:

 

 

 

 

 

 

 

 

 

 

 Our entry is at 1.391 with initial stop at 1.426. Our preserve mode level is at 1.358 and target at 1.318. If we can reach our target, it will be a reward risk ratio of 200%. We almost reached our target but we took 80% profits and let the rest ride down south because it is a countertrend play of the monthly chart. Our current stop is now at 1.358.

Below is the chart:

 

 

 

 

 

 

 

 

 

 

If you would like to learn how to trade like an institutional trader or learn more about our multi-timeframe email alerts, go to www.ichimokutrade.com or email us at info@eiicapital.com

EDUCATIONAL USE. Commodity Futures Trading Commission, Forex, Futures, Equity and Options Trading has large potential rewards, but also has large potential risk and may not be suitable for everyone. You must be aware of the risks and be willing to accept them in order to invest in these markets. Do not trade with money you can not afford to lose. …
Read More >>

Malaysia Stock Ichimoku Trade of The Week (21-8-13) 7099-KLS SMPC

Posted on August 28th, 2013 by

We received a 3 timeframe buy signal on 21st August 2013 for the Malaysia Stock SMPC Corperation.

Below is the email alert:

 

 

 

 

 

 

 

 

 

 

 

We did not take this trade opportunity because on the higher timeframe, it was clearly a consolidation and within a cloud. We would want to see a breakout of this consolidation pattern, which could also start a bullish trend.

If you would like to learn how to trade like an institutional trader or learn more about our multi-timeframe email alerts, go to www.ichimokutrade.com or email us at info@eiicapital.com

EDUCATIONAL USE. Commodity Futures Trading Commission, Forex, Futures, Equity and Options Trading has large potential rewards, but also has large potential risk and may not be suitable for everyone. You must be aware of the risks and be willing to accept them in order to invest in these markets. Do not trade with money you can not afford to lose. This is neither a solicitation nor an offer to Buy/Sell. No representation is being made that any account will or is likely to achieve profits or losses similar to those discussed on this document. The past performance of any trading …
Read More >>

Using Multiple Timeframes to Confirm Wave Patterns

Posted on August 26th, 2013 by

The month of July saw profit taking pullbacks in multiple trending currencies.  In my last post I talked about the GBPTHB.  The South African Rand (ZAR) is another currency that has been trending bearish for several years.  Continuing the naturally bearish trend of ZAR there were opportunities to take trades on pairs that had pulled back to major levels.  I took both EURZAR and CHFZAR long mid-July when they pulled back to Daily Wave levels.

The CHFZAR presented the nearest “perfect” opportunity because the setup was confirmed on all higher timeframes.

Daily was my entry Timeframe with an order at the Daily flat Senkou B and a stop that would clear the pivot lows.  My target was the major Pivot High.

This entry point also matched with the Weekly flat Kijun Sen with strong Momentum.

Finally, the level also matched with major Pivot highs going back to 2009.


Read More >>

Pressure to Trade : What happens?

Posted on August 26th, 2013 by

Last week, we had 4 students from Canada visit our Atlanta day trading office.   They wanted to trade with us for the entire week.

Our day trading consists of research for 1 hour from 9:00am to 10:00am EST.     During that time, we research all markets and find the best momentum Ichimoku trade for currencies, stocks, and futures.     From 10:00am to 11:30am EST, we take the trades from our research hour.

As a teacher, my responsibility is to make sure the student’s trade the institutional way.    On Wednesday of last week, the goal was to test the students to see what they would do under a high pressure situation.    At 9:00 am EST, I announced to everyone in the office, they had to find a profitable trade by 11:30am EST.   If they didn’t and I took a profitable trade by 11:30am, they would be fined the amount of profit I took on my trade.

There was no real opportunity in the market.   As a result, I moved into a “scalping” mode on the GBPCHF to claim 40 pips by 11:30am EST.   By 10:13am EST, I had taken 40 pips of profit …
Read More >>

A perfect Wave Pattern

Posted on August 26th, 2013 by

Originally Drafted 7/17/2013 but forgot to post!

One of my favorite instruments to research are exotic currency pairs.  The spreads make it difficult to take trades on any timeframe lower than a 4Hour/2Hour but doing monthly scans of all pairs available for trading can yield great Daily/Weekly/Monthly setups for trades.  Often times it seems to me that these are the LEAST manipulated by major market players and classic price action formations can express themselves in textbook ways.

An example which I realized this week was the GBP/THB (credit to Allan for pointing out the pair’s countertrend action).  This pair since March has demonstrated a 3 month institutional trend within a textbook Elliot wave pattern.

 Update 8/26/2013

On 8/7/2013 I took profits on this pair but since it has continued the 5th wave higher and higher.  This is an interesting study for two reasons; I can confirm the Wave price action on this pair and also confirm my probability rules that state that a major Pullback to the top of the cloud has a high probability of retesting and breaking the pivot high.  In this case it essentially held the top of the cloud on the Daily to continue past …
Read More >>

Ichimoku Forex Trade of the Week : 8-23-13 CADCHF Currency Short

Posted on August 26th, 2013 by

On Aug 19, 2013, we received an Ichimoku 5 time frame sell on the currency CADCHF for the forex market.  Here is the email alert:

The CAD is weak and the CHF is strong against the major pairs.   We are therefore, setting up a breakout trade on the 2h time frame.  The entry would be 0.8908, initial stop of 0.8987, and a preserve mode of 0.8829.  This would give us a max initial risk of 79 pips and a min. reward of 79.   This would give us a potential of a 3:1 once the trade enters since the stop would move when we enter the trade.   Here is the chart setup:

If you would like to learn how to trade like an institutional trader or learn more about our multi-timeframe email alerts, go to www.ichimokutrade.com or email us at info@eiicapital.com

EDUCATIONAL USE. Commodity Futures Trading Commission, Forex, Futures, Equity and Options Trading has large potential rewards, but also has large potential risk and may not be suitable for everyone. You must be aware of the risks and be willing to accept them in order to invest in these markets. Do not trade with money you can not …
Read More >>

Ichimoku Stock Trade of the Week : 8-23-13 SHLD Sears Holding Corp

Posted on August 26th, 2013 by

On Aug 19, 2013, we received an Ichimoku 6 time frame sell on the stock Sears Holding Corporation SHLD.   The email alert is shown below:

We choose to take the pull back trade on the daily time frame for a long term opportunity.   The entry is 43.52, initial stop of 44.38, and a preserve mode value of 39.51.   This is a max initial risk of 0.86 and a min. reward of 4.01.   This gives us a min. reward/risk of 4:1 i.e. 400%.

 

We are in preserve mode right now with a current stop value of 41.61.

 

If you would like to learn how to trade like an institutional trader or learn more about our multi-timeframe email alerts, go to www.ichimokutrade.com or email us at info@eiicapital.com

EDUCATIONAL USE. Commodity Futures Trading Commission, Forex, Futures, Equity and Options Trading has large potential rewards, but also has large potential risk and may not be suitable for everyone. You must be aware of the risks and be willing to accept them in order to invest in these markets. Do not trade with money you can not afford to lose. This is neither a solicitation nor an offer to …
Read More >>

CANADIAN STOCK Ichimoku Trade of the Week: Aug 19 – Aug 23, 2013.

Posted on August 26th, 2013 by

This is the weekly trade for the Canadian Stock Market. We received an Email Alert on August 19, 2013 for a 4 time frame Buy / Sell opportunity.

There was a signal to go LONG on VERMILION ENERGY INC.’S stock. The Entry was at $21.84 and the Initial Stop for the trade was $21.60. A risk of $0.24 per share. The Entry and the Target were set based on Proprietary Ichimoku Strategy. The price hit the entry point and started to move in the favour of the trade. As anticipated, the price hit the previous set target of $22.40 thus giving us a profit of $0.56 per share. A Risk : Reward ratio of 1 : 2.33 was achieved in this trade.

If you would like to learn how to trade like an institutional trader or learn more about our multi-timeframe email alerts, go to www.ichimokutrade.com or email us at info@eiicapital.com EDUCATIONAL USE. Commodity Futures Trading Commission, Forex, Futures, Equity and Options Trading has large potential rewards, but also has large potential risk and may not be suitable for everyone. You must be aware of the risks and be willing to accept them in order to invest in …
Read More >>

INDIAN STOCK Ichimoku Trade of the Week: Aug 18 – Aug 23, 2013.

Posted on August 26th, 2013 by

This is the weekly trade for the Indian Stock Market. We received an Email Alert on August 23, 2013 for a 4 time frame Buy / Sell opportunity.

There was a signal to go LONG on HINDUSTAN ZINC LTD’S stock. The Entry was at Rs. 108.68 and the Initial Stop for the trade was Rs. 104.77. A risk of Rs. 3.91 per share. The entry and the target were preset based on Proprietary Ichimoku Strategy. The price hit the entry point and started to move in the favour of the trade, as anticipated, the price hit the previous set target of Rs. 119.40. A profit of Rs. 10.62 per share was encashed thus giving us a Risk : Reward ratio of 1 : 2.80.

If you would like to learn how to trade like an institutional trader or learn more about our multi-timeframe email alerts, go to www.ichimokutrade.com or email us at info@eiicapital.com EDUCATIONAL USE. Commodity Futures Trading Commission, Forex, Futures, Equity and Options Trading has large potential rewards, but also has large potential risk and may not be suitable for everyone. You must be aware of the risks and be willing to accept them in order to …
Read More >>