1. USDJPY (Daily Chart) – Power Pivot Trade Long 02.06.2014 – The pair was fresh off a significant bounce higher from a strong support level and divergence so when the first pull back came it provided an efficient entry to enter and ride up to the top of its channel around the 102.70 level. Last week’s pull back in the middle of the channel came back to the 50% fib level alongside 2 consecutive low test bars. Last Friday finished the day as a strong low test buyer bar so traders were looking to enter on the break of its high (stop under the low) on Sunday’s open which arrived, entered positions and through the week rallied to its target for a +2.2% return
2. NZDUSD (Daily Chart) – Power Pivot Long – 05.06.2014 – After a significant retracement to its 50% fib level from January’s lows, the market showed signs of divergence indicating that the move lower was burning out of steam. This coincided beautifully with a significant horizontal level at the big 8400 handle and a fib over-extension. Finally price action arrived with a low test reversal bar on Wednesday. This triggered on Thursday and rallied strongly through the day where most traders banked +1% in a day, taking profits off the table prior to NFP.
3. GBPJPY (5min Chart) – Pivot Trade Short 04.06.2014 – With the JPY weakening (see trade 1) we were looking for trades to take advantage of this. With GBPJPY, it was clear from the daily chart that this pair was heading higher off the back of a strong bounce from support and accompanying divergence. Traders were therefore looking for efficient entries into this move and this was located on the 5 minute chart using the pivot trade. The first trade of the London session came just before 10am, hitting target by 12pm for a +1.69% trade
4. CHFJPY (5min Chart) – Pivot Trade Short 03.06.2014 – Same scenario as the trade above, looking to play the JPY weakness against stronger counterpart currencies. Using the daily time-frame as a guide we could see that the market had double bottomed with some significant divergence and was reversing strongly. Being too late to enter on the daily time-frame, it was again the pivot strategy to provide the efficient entry and this arrived on Tuesday with a healthy +1.67% reward on offer. There were multiple entry points during the London morning session, allowing profit to be taken within a few hours
5. AUDUSD (5min Chart) – Pivot Trade Short – 04.06.2014 – With the daily chart well into its bounce from support, traders were looking to add to positions on the lower time-frames. The pivot trade provided several great setups during the week, best of them all coming on Wednesday due to the positive reward to risk. Entry during the early stages of the London session, trades hit a +1.24% target within a few hours.