Tag Archive short position

Shorting Silver before a Breakout




Shorting Silver before a breakout, with silver looking to have been trading with in a narrow range for a good couple of years as shown by the bottom Tradingview weekly chart.

Within the narrow range we took our opportunity to take a quick short trade on silver, price had reach the resistance level, so after hitting this level it was struggling to breakout still, after placing our trade, price then took a sudden drop similar to the previous drops as shown on the daily chart below.

We know that price will have to breakout soon, and our conclusion is it’ll head for an upward trend, when, this we are unable to speculate at this time, the is a build up of orders appearing below and around the 1650.0 area, whether these buyers have the strength to help price breakout of the current range soon and even take price slightly highers is again hard to speculate but could be possible.

We as always had been thankful for our analysis help us to a profit of £60.10 for the fund, we could be keeping a close watch on silver for more opportunities, perhaps not to short and more or a buyer potential.

Shorting silver

 

Silver on the Tradingview Weekly Chart.

shorting silver

(Our trading and image was done using an account with UK based broker IG)

*Please Note, Binary Options and Forex trading can carry a high level of risk to your capital as you could lose all of your investment. These products may not be suitable for every investor, therefore ensure you understand the risks and seek independent advice. Invest only what you can afford to lose. We are NOT financial advisers and we do NOT offer financial advice. 




Caution on Shorting Kiwi Dollar




Entering Short with caution that the Kiwi Dollar had been to areas that tested support in the zone that contained the NZD’s moves against US Dollar since 2016.

While knowing that a hike in US interest rates would further strengthen the USD and the NZDUSD looking to remain almost directionless and fluctuate within a range, we had expected a drop and so entered a sell trade and went short NZDUSD.

Our analysis was showing that the hike in US interest rates would give the US Dollar strength to break out that zone, however if for only a short period of time, as can been seen on the chart and confirming our expectations, a large candle has developed at the right of the chart with a large wick at the bottom, if the downward price of the NZDUSD was happening then it was probable that this would only be temporary.

We believe a build up of buyers had been waiting at around or just below the 7000 mark stopping any further drop for the Kiwi Dollar, we waited patiently for a further drop in price as sellers battled with the buyers for supremacy.

We didn’t have to wait long before the sellers had control and took price downward, we decided profit is still profit and be grateful and to move on to the next trade before the buyers enter back into the market for more.

Kiwi Dollar

(Our trading and image was done using an account with UK based broker IG)

*Please Note, Binary Options and Forex trading can carry a high level of risk to your capital as you could lose all of your investment. These products may not be suitable for every investor, therefore ensure you understand the risks and seek independent advice. Invest only what you can afford to lose. We are NOT financial advisers and we do NOT offer financial advice. 




Taking a Loss on USDJPY




We don’t always get it right in trading! This week we ended up taking a loss on USDJPY.

A very important thing to remember in trading is losses will happen to everybody, this is why proper money management and an understanding of leverage are a must for every trader.

We had expected from our analysis that the USD was going to weaken further for a small amount of time, while good date was coming out of Japan regarding it’s current account and BoJ Lending.

So we entered a Short Position on USDJPY, however some positive data from the US including unemployment claims and the federal budget balance had given the USD some strength.

Within the chart we could see a bear trend with sellers mainly in control at certain areas.

Bulls were starting to gain strength and the positive data from the US gave them that extra confidence to get into the market and take the USDJPY higher.

So we made a loss, we don’t dwell too much, instead we move on to the next trading opportunity.

loss on USDJPY

(Our trading and image was done using an account with UK based broker IG)

If you want to learn how to make money online, then click here to learn about one of our Traders

*Please Note, Binary Options and Forex trading can carry a high level of risk to your capital as you could lose all of your investment. These products may not be suitable for every investor, therefore ensure you understand the risks and seek independent advice. Invest only what you can afford to lose. We are NOT financial advisers and we do NOT offer financial advice. 




Shorting the S&P 500 for Profit




While the Index was between zones we got a position shorting the S&P 500 for Profit.

We could see on the hourly chart the had been a struggle between the Bulls and the Bears recently, an area of resistance was showing at around the 2680 price with support at around 2660.

We knew it won’t be long before a potential breakout, as the month of April had been strong for stocks in the US and so the S&P 500 could look set to cover its previous losses for the year.

The Bulls could be coming into positions of strength and taking the index higher.

Wanting to close out our short position, and settle for £62.60 profit.

S&P 500

(Our trading and image was done using an account with UK based broker IG)

If you want to learn how to make money online, then click here to learn about one of our Traders

*Please Note, Binary Options and Forex trading can carry a high level of risk to your capital as you could lose all of your investment. These products may not be suitable for every investor, therefore ensure you understand the risks and seek independent advice. Invest only what you can afford to lose. We are NOT financial advisers and we do NOT offer financial advice. 




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