Price action on USD/JPY, a daily chart of which is shown, has continued to follow a rough uptrend support line extending from the early March low just above 88.00. More recently, after breaking out above a long-term parallel downtrend channel in late March, price shot up to reach a high just below 95.00 in early April. Finally, early last week price launched off the key 92.00 support region, and currently appears to be targeting the 95.00 area once again. For more technical analysis on this currency pair, please click here …

There was an interesting development on the GBP/USD pair yesterday because the Supertrend indicator finally turned green on the daily chart, indicating that it’s now in an upward trend. Considering it’s been red since 8th December 2009, this could be a significant change in trend, and suggests that the GBP/USD could be bouncing back after a heavy sell-off in recent months.
From a personal point of view, the reason why this Supertrend indicator is so important is because it tells me which way I should be trading on the 4 hour …

It’s been a mixed week this week. I had two trades that worked out pretty well (on the EUR/GBP and GBP/JPY pairs) and two small losses on the USD/JPY pair just to cancel things out. In the end I’m slightly up on the week but it’s nothing to get excited about.
The GBP/USD and EUR/USD didn’t produce any decent trading opportunities this week. Well actually if I had stuck to the trading rules of my 4 hour system I would have gone short on the EUR/USD pair after the EMAs crossed downwards, …

You may recall that last week I was hoping that the GBP/USD would fall to around 1.52-1.53 before rising again so that the EMAs would cross upwards and we would have a high probability trading set-up. Frustratingly although this scenario played out perfectly this week, it didn’t quite go according to plan.
I actually traded this pair twice. The first time the EMAs crossed upwards was on Tuesday and I went long at 1.5380. Sadly this upward move fizzled out fairly quickly and I was stopped out for a 40 point …

I want to share with you a trade that I placed this week on the EUR/GBP pair because this was a perfect high probability set-up. I was looking through the various pairs to see if there were any set-ups that satisfied the criteria of my main 4 hour trading system, when I noticed an interesting pattern forming on the EUR/GBP pair.
It was clear that after a big sell-off there was a nice double-bottom forming on this pair. This was enough to get my attention, but I also noticed that after the price …