trade strategies

USD Reaches Tipping Point – Wake Up!

Forex Kong 14 Comments

You can remain focused on the “distractions” as Greece continues to take the headlines, or you can pull your head out of the sand and wake the f%k up.

USD is “make it or beak it here” so trades are locked and loaded….but I don’t pull triggers on Fridays.

Snippet from the members section:

We’d really be picking bottoms here as it’s “still” too early .

BUT.

Looking at a 5 minute chart of GBP/USD you’ll want to “at the bare minimum” see the 5 minute chart CLEARLY TRENDING UPWARD so….pull out to see att least a full 5-7 days of trading and plot the 200SMA to start.

You’ll want to see this turn “upward” regardless of the actual price level before entering.

Sure the level looks great “now” but from a safety perspective – let it start making “higher highs and higher lows” on this tiny time frame to even consider entry.

As it stands…the 5 min has yet to turn upward so…..consider how small / micro we are looking now.

I would rather see the 15 min “as well” th 1H trending higher before entry but…..we are getting very close to a point where “legging in” makes sense.

This can be reflected/applied against any USD related pair here, as we “hang” on the cusp of trend change.

Imagine hitting it on a 15 min time frame as still being “sooooo early” right?

No reason to enter here before the weekend. We’ll miss nothing.

 

Are you trading forex yet? Or are you getting completely smashed trying?

I figured.

Daily Forex Strategy – May 21, 2015

Forex Kong 1 Comment

This is a quick look at where I’m looking for my next trade entry.

This scenario suggests that USD has not yet found its intermediate term low, and that we’ll see another substantial leg down “first”.

USD_May_21_Forex_Kong

USD_May_21_Forex_Kong

On the flip-side USD breaks upward, breaking though the 50 SMA ( now clearly pointing lower ) and heads for the highs..only to stall out there and spend “eternity” flopping around at similar levels.

You’ll have to appreciate that all the fuss about Eur/Usd is just more “retail propaganda” manufactured by the financial / foreign exchange industry to have you trading the pair “thinking” you’ve got an edge or an advantage. These are the planets two most widely held “reserve currencies” and will always “flip and flop” based on simple market mechanics.

Pull a monthly chart of EUR/USD and realize the pair can trade in as wide a range as .40 cents! Without a single “meaningful repercussion” to either economy. There is no “fundamental reasons” to track the pair…..and I rarely trade it.

Retail flock to it….as the media would have you. Silly.

If USD turns “on cue” you’ll have to expect U.S Equities to do the same…. but then again….I’ve been saying that for a looooooong time now.

The “range grind” continues.

 

U.S Dollar To Bounce – Then Dive

Forex Kong Got something to say?

The U.S.D short’s have been amazing, and the profits are in the bank.

Several of the usual trolls lurking ’round Kong have been silenced, and the world is a beautiful place, with both The British Pound as well The Australian Dollar looking a little “top-heavy” here.

I expect a modest bounce in USD and in turn, a pullback in oil and commodity related names in general.

The stock market? You can have it. If waking up every single day to this endless back n forth / see-saw is your idea of a good time…..all power to you. Having “not paid attention to it has been one of the most liberating moves of this entire 2015.

Stocks are going nowhere. Nowhere this month, nowhere next month and then down for the forseeable future.

The US Dollar now at 4 month lows will pop for a small correction “upward” here –  then she’s all down hill.

 

Booking Forex Profits – Interstellar Seamstress Needed

Forex Kong 9 Comments

I’ve finally tracked down the few missing parts for the spaceship still parked on the rooftop, and plan on smuggling them out of Canada mid month June.

I’ve come in contact with some very “tech savvy Canucks” here as of late, and feel that lift off is now “imminent”.

Mrs. Kong has done a bang up job keeping the authorities at bay, as the craft itself has been difficult to disguise. The small crowds that gather out in the front yard have now been disbursed, thanks to a couple $20 Canadian Bills having been passed to my dear friends the “Policia”.

Oh how I love authority. Oh how I love the police. Such kind, warm-hearted gentleman – and only there to help.

Markets look like a runway. Flat as pancakes for you equity guys, while our short US Dollar trades add a whopping 10% over the past few weeks. Plan to book profits here again……and prepare for bounce/next leg down.

The next one takes equities with it.

The only missing piece now being these damn spacesuits. You know…..the moon landings back in the 60’s? Made of paper more or less – and wouldn’t have kept out a single ion of radiation ( of which space is filled ).

At least these days the technology exists. I’ve just got to track it down.

Book’em Dano!

Taking profits short USD today. Bounce then re enter short.

Placing “want ads” now – Interstellar Seamstress needed.

 

 

 

Don't Go Chasing Waterfalls – Well Maybe This One

Forex Kong 1 Comment

There is a potential USD breakdown in play here as we’ve been playing the short side lately – with great success.

Waiting for a bounce before re entering “short USD as well short risk in general” may not even be an option as USD pairs are moving fast and furious this morning.

You leg in……get a couple contracts here this morning long EUR, GBP short USD/CAD etc as to not miss potential “waterfalls” BUT…stay liquid enough to buy additional contracts “if” a bounce occurs over coming days. IT WON”T LAST LONG ENOUGH TO MATTER.

Average in for a medium term hold, or just a “great freakin trade” here short term.

Yellen openly suggests danger in equity prices………bubble popping time?

If you haven’t sold NetFlix by now……ugh.

Watch those little mining companies…lower USD means Gold and Silver UP.

 

 

 

Buy JPY – Don't Be A Complete Moron

Forex Kong 14 Comments

If you are only  “half a moron” O.K fine…….you’re allright.

But if you envision yourself as “full moron” well…….that’s your thing.

COMPLETE MORON…..and now I’m looking to punch you in the knee, spit in your ear, and very likely kick you in the face – as you flounder around…….. reaching for your retainer ( and your Ibankcoin log in info ).

This is truly “complete moron”.

You buy JPY here ( meaning you “short” JPY related pairs such as AUD/JPY etc..) and you go boat shopping.

You dump your winning trades NOW, and you get to cash NOW….you book profits NOW…you go boat shopping NOW!

For forex people….duuhh…short AUD/JPY, NZD/JPY,USD/JPY and every other JPY pair under the planet.

Abe won’t be thrilled.

 

 

 

 

 

Biotech Already Showed You – GDP Dismal

Forex Kong 4 Comments

The US Dollar has FINALLY broken below its previous daily cycle low to confirm the beginning of the long await “intermediate decline”.

A few days bounce may be in the cards, but what is most important to understand is that the cycle of higher highs and high lowers has finally come to an end –  with a “lower low” now in place.

Larger implications?

I assume gold, silver and the related mining companies are about to see  strong move upward, and it will be interesting to see if the price of oil related names move higher – in the face of a weaker U.S Dollar.

The ol adage to “sell in May and go away” looks to be taking hold this year, so I would caution you sleepy , passive , complacent traders and investors to consider “once again” to bank those profits here, as this extended topping process finally comes home to roost.

Short USD trades have performed wonderfully, and we’ve got the JPY related pairs on deck next.

CNBC has now moved to a shitty little office in San Francisco, because t’s all they can afford. Look for the network / channel to likely disappear from the airwaves late this year.

Yesterday’s “trade of the day” posted on Twitter was a smashing success, as will be today’s and the next days and the next….

The Fed has your back here this afternoon. U.S GDP craters lower “again” and the world is a happy shiny place “financially speaking”. Lol.

Keep drinkin the watered down, luke warm kool-aid here today. Ahh screw it….just go back to bed.

IBB_Forex_Kong

IBB_Forex_Kong

 

 

 

 

Getting Ready – Sell AUD/JPY at 95.50

Forex Kong Got something to say?

Not today folks ( but you can see that risk is indeed being sold already).

I am planning for a fat trade Short AUD/JPY up around 95.50 over the next day er two.

What do you know? Apple earnings finally out-of-the-way, and could it be…..no..no seriously?

Market may “actually start to look interesting here again soon”!

I will be posting more short-term trades here in coming days and weeks, as I see the potential developing for some movement – Finally!

Teeter Totter….stocks can fall like water.

 

 

 

 

USD Shorts – Taking Profits Then Reloading

Forex Kong 4 Comments

As per last week’s weekly report to members.

In the current environment these trades playing out over the past 7 – 10 days equate to “monsters” if you ask me.

Long GBP/USD back on like April 17 around 148.50 for 300 pips.

GBP_USD_Forex_Kong_April_20

GBP_USD_Forex_Kong_April_20

EUR/USD for a 100 pips

EUR_USD_April_20_Forex_Kong

EUR_USD_April_20_Forex_Kong

Markets are set to roll over here, so USD could go either way short term…a continued fall or small bounce before “continued fall lower”.

Biotech leading the charge – getting hammered today…

I’ll bank the cash….sit tight a day er two and reload across the board for continued and “larger gains” short USD and short RISK in general.

 

 

Picking Coca In Peru – Beats Following Markets

Forex Kong 1 Comment

The hard cold truth.

There is very little “if any” money to be made on the long side. Period.

If you love “anguish and grief” then great. You can do your best to push though this “as a bull” but……you will likely wake up “morning after morning – for weeks on end” hoping to see a few extra pennies added to your account, only to find more shitty ads on CNBC, an empty sugar bowl, rats in your attic and a dull pain behind your eyes.

With a general view that we ultimately move “significantly lower”….this thing is doing “this” at best:

SPX_APRIL_23_Forex_Kong

SPX_APRIL_23_Forex_Kong

Who could be bothered?

Short of looking for some “big red candles” to follow – I could just as well have a completely  “alternate identity” picking coca leaves in the mountains of Peru as opposed to contemplating this.

Imagine it going sideways for “the next 4 months” and I think you get the picture.

Big red candles or bust folks…otherwise….you’re just wasting your time.

 

I AM STILL EXTREMELY SHORT USD.