Wednesday, October 7, 2009

What is the direction of highest probability today? (08/10/09)

by Johan Kriek (jkriek@fxinstructor.com)

KEY EVENTS THAT COULD HAVE A “PROBABILITY CHANGING EFFECT”:

11AM GMT = BoE Rate decision

* A hike could send the GBP higher

11:45AM GMT = ECB Rate decision

* A hike could send the EUR higher

Probabilities:

eur

Direction of Highest Probability: BULLISH
60 minute trend support: 1.4700
Bearish Probability below: 1.4700
Significant support: 1.4700, 1.4695
Significant resistance:1.4844

gbp

Direction of Highest Probability: BULLISH
60 minute trend support: 1.5840
Bearish Probability below: 1.5840
Significant support: 1.5840
Significant resistance:1.6080, 1.6090

aud

Direction of Highest Probability: BULLISH
60 minute trend support: 0.8950
Bearish Probability below: 0.8950
Significant support: 0.8950
Significant resistance:0.9040 (top of broadening formation channel, a break here could send the AUD higher)

jpy

Direction of Highest Probability: BEARISH
60 minute trend resistance: 88.90
Bullish Probability above: 88.90
Significant resistance: 88.90, 89.40
Significant support:87.96 (minor, previous low)
___________________________________
This analysis has been based on the Probability Study Technique which is derived from the Dow Theory

Also note that a “trading condition” does not constitute a trading signal, but rather a context to execute your own trading system within.

For more about the Probability Study Technique, please visit forums.fxinstructor.com or register yourself a seat at
http://www.fxinstructor.com/eng/courses/probability-reserve.php to learn this technique

Enjoy and good luck!

Johan

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