TRADE CALL RECAP
For our last Live on the News event, we were watching the
Canadian GDP report last Friday. We were looking to long the
USD/CAD or EUR/CAD if the report came out at least 0.2% worse
than expected. The number came out with no deviation, so it did
not meet our safe trigger and we did not enter a trade. To see
a video of this trade, click on the link below:
OUR NEXT LIVE ON THE NEWS TRADE CALL
Our next live trade opportunity will be tomorrow when the US
ISM Manufacturing Report is released at 10:00 am EDT. The
expected number for this report is 50.0. A higher than
expected number will be good for the USD and signal a long on
the USD/JPY, and a lower than expected number will be bad for
the USD and signal a short on the USD/JPY. We will be looking
for a deviation of 2.5 on this report to trigger a safe trade.
This report last met our safe trigger in February and provided
up to 40 pips of profit for our traders on the USD/JPY. To see
the video of February’s trade click on the following link:
This is our current outlook for this trade; however, it is
subject to change as market conditions may change by tomorrow.
Be sure to log in to the Live Trade Room 15 minutes prior to
the release to get my commentary on this potential trade.
BANK FLOW UPDATE
We close out August with historic gains for the dollar in just
a short period of time. As an example, we began the month with
the GBPUSD at around 1.9800 and now end the month in the 1.8000
range. That is a rate change of 1,800 pips. No one could have
foreseen such a monumental move in such little time. In fact,
it caught many traders off guard. Even if you were not in the
market you could not help but sit back in awe of what was
taking place. How many of you said to yourself “if only I had
sold at 1.9800 and held it?” For the traders that kept
thinking it had to stop somewhere and continued to try to
counter this trend you may be licking your wounds.
For this reason Jonathan has chosen wisely to err on the side
of caution for the last few weeks of the month. With such
extreme moves the market has achieved many of the longer term
goals that he had and much sooner than expected. This is cause
to step back and reevaluate the trading plan.
Also, as summer was coming to a close, liquidity for the bank
flows has been very thin. We were seeing 25-30% of the normal
liquidity that we would expect to see. Any bank orders that
exist are easily absorbed and the market has become very
choppy. As you have heard Jonathan and me say many times, it
is just as important to know when not to trade as it is to know
when to enter a trade.
Since we were in such a questionable environment Jonathan made
the decision to hold off on new bank flows until the new
month. We are looking ahead to a return of liquidity as
traders settle in for the fall and last quarter of the year.
The question on everyone’s mind is will the trend pattern
continue or will we see a pull back on the dollar. Expectations
are high and September should be an exciting month for the Bank
Flow System.
Here are the results for the past few weeks of the Bank Flow
trade calls:
August 5 – Buy EURUSD 1.5468 – Closed with -50; this trade
showed over 40 pips of profit, but Jonathan was not able to
post a move stop to breakeven.
August 5 – Buy GBPUSD 1.9532 – Closed with -50; this trade
showed over 40 pips of profit, but Jonathan was not able to
post a move stop to breakeven.
August 6 – Buy EURUSD 1.5405 – Closed with 0 pips;
approximately 90 pips of profit seen on this trade.
August 6 – Buy GBPUSD 1.9469 – Closed with 0 pips;
approximately 60 pips of profit seen on this trade.
August 7 – Buy EURUSD 1.5388 – Closed with -50 pips
August 7 – Buy GBPUSD 1.9459 – Closed with -50 pips
August 12 – Buy GBPUSD 1.8963 – Closed with 0 pips; saw over 70
pips of profit before it came back to breakeven
August 12 – Sell USDCAD 1.0710 – Closed partial with 70 pips;
rest at breakeven
August 22 – Buy GBPUSD 1.8596 – Closed with -50 pips; showed
approximately 20 pips of profit at one point.
There were also three long term trades that we closed out with
significant profits on. They are:
Buy USDCHF 1.0230 – Closed on August 7 with approximately 400
pips of profit
Buy USDCHF 1.0200 – Closed on August 7 with approximately 420
pips of profit
Sell AUDUSD 0.9060 – Closed on August 12 with approximately 290
pips of profit
So again, if you followed the trading guidelines you could have
made some profits even in this unsure month. If you just put a
40 pip limit on each trade, you could have netted about 100
pips on the trades that were called in August. With the long
term trades, we had several traders that reported making some
significant profits for the month.
If you have not yet had a trial our Bank Flow service, you may
click on the link below to get started.
Good Luck!!!!
