Peter Bain Forex Trading Commentary for Friday May 12, 2006
Forexmentor.com Forex Trading Price Action
For those of you who are still struggling with the concept of MACD neutralization, well here's yet another example today.... a downtrend continuation pattern wherein, once MACD neutralized back up to the waterline during the consolidation or equilibrium phase, price then swooned, while MACD went oversold once again - but not as over-sold as when the period of neutralization got underway. Further note, on the 15 minute chart for the Swissy I'm referencing, that the end result of all this was positive MACD divergence well after the London open. Yesterday, we had negative divergence at the London open. You hear me talk about neutralization and divergence often enough that, if you master these concepts, you're well on your way to making serious money trading currencies.
See today's chart at: http://www.forexmentor.com/campaign/may1206.html
See latest sample AM Review at: http://www.forexmentor.com/sampler/
For those of you who are still struggling with the concept of MACD neutralization, well here's yet another example today.... a downtrend continuation pattern wherein, once MACD neutralized back up to the waterline during the consolidation or equilibrium phase, price then swooned, while MACD went oversold once again - but not as over-sold as when the period of neutralization got underway. Further note, on the 15 minute chart for the Swissy I'm referencing, that the end result of all this was positive MACD divergence well after the London open. Yesterday, we had negative divergence at the London open. You hear me talk about neutralization and divergence often enough that, if you master these concepts, you're well on your way to making serious money trading currencies.
See today's chart at: http://www.forexmentor.com/campaign/may1206.html
See latest sample AM Review at: http://www.forexmentor.com/sampler/
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