Charting Trade Signals Example

Welcome to TheLFB Charting Signal page where we provide daily technical price information for trader education and charting knowledge advancement. Each day a potential charting signal will be revealed that links back to the Member Technical View area.

TheLFB runs three sets of signal service for our clients, each with a slightly different theme to suit a wide array of trader profiles. There will be varying numbers of signals in each bucket, and varying reasons for each signal to be taken. Email notification will be sent as each area is updated. The three Signal pages are in the Trader Services menu.

Spot Signals	Charting Signals	Options Signals
Using the daily Trade Plans  to guide potential each day. Very reactive to market activity, with a regular flow of management instruction in reaction to intra-day moves. Between 10-20 signals a week on average.	Using the daily Members Charting to signal movement in the global market that tends to set up and run through consecutive sessions. Between 3-5 signals a week on average, looking for mid-term set-ups.	Using a combination of Trade Plans, Members Charting, and inter-connected market analysis to create strategies that can hedge portfolio movement and trade the longer-term trends. Between 3-5 signals a week.

Latest Updates

Feb 25 10 18:40 EST Loaded C201. Long Eur/Jpy. Entry 120.35. S/L 119.60. Target 1 120.95: S/L to 120.35. Target 2 121.50: S/L to 1121.30. End.  Feb 25 10 15:20 EST Loaded Eur/Usd and Eur/Jpy Article and Charting

Live Signals

Charting Signal	Date/Time:	Signal No:	Entry:	Stop:	Target 1:	Target 2:
Eur/Jpy Long	Feb 25 10 18:40 EST	C201	@ 120.35 Buy Limit	@ 119.60	@ 120.95 S/L to 120.35	@ 121.50 S/L 121.30
ChartingSignal No: C201. Long Eur/Jpy. Entry 120.35. S/L 119.60. Target 1 120.95: S/L to 120.35. Target 2 121.50: S/L to 1121.30. End.  Updates: Looking to buy any pull-back with a Buy Limit (current price is above the Long entry point) order.

Eur/Usd and Eur/Jpy

Feb 25 10 15:20 EST

The Usd traded higher today at the start of the Wall Street session, when stocks were pulled 1% lower lower after poor weekly unemployment numbers. The S&P 500 (cash market) fell to the 1085 region where prices found support and bounced back higher, which was the reason for a move higher on the majors.

Yesterday we commented on weak euro expectations against the Japanese yen and the Usd. Eur/Usd remained flat over the last session, with price action trapped between 1.3691 resistance and 1.3443 support.  The sideways moves on Eur/Usd and lower moves on Usd/Jpy, the Eur/Jpy pair exploded to the Short side as highlighted in yesterdays update. The Eur/Jpy trade plan caught the whole move through five sets of target areas.

On the updated Eur/Jpy chart below, the market made a sharp decline from the 122.60 region to the 119.64 zone, where an extended red wave V probably completed a whole impulsive decline from the 125.20 top. In this case, a three wave of an upward correction is expected over the coming days that may reach the 121.45-121.80 resistance zone, but only if 119.64 lows can hold. (Eur/Jpy chart)  

On the Eur/Usd chart we are looking for two possible scenarios, where both are triangle corrective patterns.

The first possible scenario is a triangle shown in a black wave IV with wave (E) in process, which is very near to completion. This must not exceed the blue wave (C) 1.3691 top. Once wave (E) is complete, wave IV will be accomplished, and a decline into new lows should follow with wave V. (Eur/Usd wave count #1)  

The second scenario is showing an unfinished triangle pattern with wave (C) in process and still wave (D) and (E) to follow, before a pattern can be finished. In this case a move above 1.3691 should be is limited at 1.3838, and any move above this level will invalidate any chances of a triangle pattern. (Eur/Usd wave count #2)  

Right now, the market looks undecided, and so long as prices on S&P futures remain trapped between 1085 support and 1112 resistance things will remain volatile.

Eur/Jpy chart:

Eur/Usd wave count #1:

Eur/Usd wave count #2:

Eur/Usd and Eur/Jpy

Feb 24 10 14:20 EST

S&P Futures dropped hard in the previous session after our update pointed out a possible decline towards the 1090 zone, due to the 4-hour trend line being broken. At the same we saw a move lower on commodities especially on gold, which is showing an impulsive bearish structure and signals for more losses ahead, which should support Usd bulls. For more details on gold please visit our “Member Technical View area”.

Once Mr. Bernanke’s Testimony started on Wednesday the Usd was pulled lower against the majors, but not for long as the market made a quick turning point. On the Eur/Usd chart shown below, prices have made a Long corrective retracement to the 1.3625 region as expected, from where the recent decline started. 

We are expecting down-side pressure on that pair, with moves towards the 1.3460 zone, especially once the lower support line gets broken around 1.3520. (Eur/Usd 30min chart)

Today we are also monitoring Eur/Jpy, where the price structure signals for a decline towards the 121.00 region in the near-term, especially once wave III lows at 121.55 are taken out. (Eur/Jpy 1h chart) 

Eur/Usd 30min chart:

Eur/Jpy 1h chart:

Eur/Usd

Feb 23 10 09:10 EST

The Usd traded mostly higher against the majors once the European session opened and equity markets dropped a shoe. The dollar index found support 80.05, which is a key level for the uptrend to continue all of the time that S&P futures remain below 1112 resistance.

On the 4 Hour S&P chart, below, prices broke through our support line after a double top was formed around 1112. This could be bearish and may easily push the Usd much higher against the majors, if Wall Street equities find sellers, where a move to the 1092 level will be expected. (S&P Futures 4-hour chart)

If the S&P scenario follows through then Eur/Usd should remain below today’s 1.3691 highs. We are looking for two different wave counts on this pair. The first one is a huge triangle pattern of a black wave IV with a blue wave (D) in process.

Each leg of a triangle pattern should be structured by at least three waves, so a move lower is expected as we can only count one leg down from the 1.3691 top. A lower red wave C) will be expected if the current wave B) finds the top somewhere below the 1.3691 region. (Eur/Usd wave count #1)

On the second wave count a black wave IV top could already be finished, which suggests a down-trend can continue in a huge wave V, if the 1.3691 top can hold.

In the near-term, a red wave 2) retrace may find its highs around the 1.3630 region, before wave 3 trades lower. (Eur/Usd wave count #2)

Overall, both wave counts suggest a weaker euro against the Usd in the near-term with a minimum Short target around 1.3490, if 1.3691 holds as resistance.

S&P Futures 4-hour chart

Eur/Usd wave count #1

Eur/Usd wave count #2

Eur/Usd

Feb 22 10 14:15 EST

The Usd has been trading lower against the majors since Friday, when the Usd index hit resistance at 81.35 and fell for 100 ticks to the recent support area at 80.30.  Meanwhile, commodities reached new highs, which helped the majors move away from their over-sold zone.

The price structure on the hourly Eur/Usd chart is signaling for a move higher in the near-term once the red wave B)/II) finds support;  possibly around the 1.3540 region. From there, a bounce to the long side of the pair is expected as an impulsive red wave C)/III), while the 1.3443 low remains. A long target of this scenario is somewhere between 1.3700-1.3730 area. (Eur/Usd 1h chart)

For a long Eur/Usd confirmation, we have also checked out the wave count on the S&P futures and dollar index to see if the technical setup agrees. As you will notice in our “Member Technical View area”, all 4-hour wave counts suggest a Short Usd, but only in the near-term; maybe first part of the week.

Eur/Usd 1h chart:

---

Page Icons