This morning's price action on the British pound was classic, following the release of the UK news and statement from the BOE. The primary pair for trading is of course cable, but the price action here was extreme, whipsawing in a wide range and making it almost impossible to trade. So what's the answer? In short, look to other currency pairs and in particular the cross currency pairs. In this case it was the GBP/AUD which delivered tradable opportunities which the GBP/USD did not. So remember, when you see volatility in the forex markets, look to the cross pairs for more measured opportunities.
https://youtu.be/bv6Y5Sylt7A...
And some more terrific volume trading lessons in the spot forex markets on NinjaTrader, this time on the GBP/NZD another cross currency pair. This month has seen the British pound moving strongly driven by both the US dollar and also Brexit, but on the cross-currency pairs we see once again some excellent trends.
https://youtu.be/gJ3GUp1jP8o...
The agreement between EU member states on the bailout package would normally be perceived as good news by many forex traders, yet the euro has fallen. Here's why and it's all to do with the bond markets and in particular the spreads between Italy and Germany which hold the long term key for the direction of the single currency.
https://youtu.be/Uk2MxuLRCjI...
In the first part of the London forex trading session, I explain all you need to know to trade the euro with confidence ahead of a busy week for the single currency. And the question moving forward is whether Italy will be the next country to leave the EU and return to the lire which allowed it to manage the economy by devaluation.
https://youtu.be/KpNoRp923uM...
Throughout the trading session, volatility ebbs and flows and knowing when to trade and when to wait is key. In this session from the US futures trading session, we take a closer look at this aspect of trading through the prism of volatility.
https://youtu.be/9E9NzpFj54c...
Stop loss placement is an art not a science, but when trading a breakout from congestion these levels are often very clearly defined for you. Discover why in this video and learn where to place them using the CME currency futures on NinjaTrader
https://youtu.be/1y-ViuqFmPM...
Sessions crossovers arrive daily and the big one is always when the London forex market gets underway with the deepest liquidity. This is when the market makers are at their most active from 8am UK time with volatility, reversals and congestion following. Some of the traps are on high volume as the market makers participate, others on low volume, but all are clearly signalled with volume price analysis and the volatility indicator for MT4, MT5, NinjaTrader or Tradestation.
https://youtu.be/ddWmqMEWX6Y...
Volatility and news go hand in hand in the forex trading world and in this case it's the GBP/USD as Eruopean data is released with the PMI data for France and Germany with the volatility indicator for MT5 and NinjaTrader signalling this clearly in all timeframes.
https://youtu.be/4DOS5-a7dpk...
Many of the currency market pairs remain rangebound and trading in congestion ranges as risk on and risk off oscillates with the ebb and flow of pandemic news daily, with fundamental data taking a secondary role.
https://youtu.be/0fk3C9KbKOQ...
