SFX Divergent Daily Advice

[SoundFX]

Sold more USd/JPY 118.12

[mosad2]

Sell Eur/jpy stopped!
reselling here 150.30

[SoundFX]

Yeah, Mosad, I think its a safe bet to have a bear agenda with these yen crosses. My tight stops from today were hit, but I've reentered more at a higher price as well. We'll see what the night brings. Looks like we had a round of stop-hunting earlier.

-S

[SoundFX]

Bobnat, here is the point of divergence for me as illustrated by the 1HR chart. Its crucial to stick to one time frame when trading this way though. For instance on a daily chart, it can be months or years before the point is reached. That's why I like the 5M and 15M charts. Less pain and more opportunity to profit even when price only NEARS the point. I suppose its actually just a way to gauge weakening momentum and profit from it as the market retraces. There are plenty of other methods for this, but this one is mine. I certainly would never contend that divergence denotes an all-out trend change, but simply a momentum change. The trick is in knowing when to get the hell out of dodge.

-S

P.S. My apologies for the giant charts, folks. I've got a giant 32-inch LCD monitor so they look A-OK to me.

[woodland-realm]

SFX, still long GBP/USD?

[SoundFX]

Still long, WR. I'm not about to abandon this position. The L-shape we saw before which I wrote about has yet to be exhausted to the north. Price is diverging bullishly to the north on the lower charts as well. We may see lower prices, but the GBP will rise IMO. So no stops for me. I'll post if I reverse for any reason though.

-S

[SoundFX]

Damn, just noticed I have 2,267 posts. I gotta get a life. Does ANYONE have more posts than that? I must be a longwinded bastard.

-S

[SoundFX]

Oh wait, Mick does. I've been trumped.