But first, please read this:

High Risk Investment Warning: Trading foreign exchange and/or contracts for difference on margin carries a high level of risk, and may not be suitable for all investors. The possibility exists that you could sustain a loss in excess of your deposited funds and therefore, you should not speculate with capital that you cannot afford to lose. Before deciding to trade you should carefully consider your objectives, financial situation, needs and level of experience. You should be aware of all the risks associated with trading on margin. The content of this Website must not be construed as personal advice.

Saturday, Feb 14, 2009

4:10PM Philippine time

I wrote last week Obama’s stimulus plan is not going to stimulate the US economy because of all the politicking and amendments. At best, it will only cause more suffering and pain in months to come. Tim Geithner was supposed to pull it all together when he unveiled the plans for the banking sector, he didn’t and in fact caused more panic in the markets when his plan lacked details the market was waiting to hear. Because of that incident the USD strengthened on the phenomenon called “flight to safety” which means that investors pulled out of the markets and kept the majority of their holdings in cash (basically they sold off their assets in exchange for USD).

=> So here’s what you have to remember this week. The more bad news you hear from the US, the stronger the USD will become.

Now, the Bailout plan is ready for Obama’s signature as it has already passed the Democrat controlled house and senate at 787Billion dollars. What remains now is to see what happens. As such the markets, specifically the currency markets will be in consolidation mode this week (basically no clear direction and it will gyrate back and forth or will be trading sideways)

So having said all that, here’re the pairs that I’ll be cooking for the week:

Monday – Feb 16, 2009

No viable opportunities on Monday.

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Tuesday – Feb 17, 2009

Get ready to Sell EUR/USD on Tuesday Feb 17, 2009

The fundamental reason:

At 6PM, German ZEW Survey (business sentiment) will come out which should be bearish for the Euro

Timing Window:

Get ready to sell EUR/USD at these times should a Technical Set up or a Trading signal appear

Philippine Time: 8AM to 12NN (This is GMT+8)

(For non-Philippine residents, please download and use the easy time conversion table found on this link: http://timingyourtrade.com/component/content/article/38-getting-started/58-time-conversion-easy-reference-guide.html)

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Wednesday – Feb 18, 2009

Get ready to Buy EUR/GBP on Wednesday Feb 18, 2009

The fundamental reason:

At 5:30PM, Bank of England Minutes of the Interest Rate Meeting will be released which should be bearish for the interest rate outlook for the GBP

Timing Window:

Get ready to buy EUR/GBP at these times should a Technical Set up or a Trading signal appear

Philippine Time: 8AM to 12NN (This is GMT+8)

(For non-Philippine residents, please download and use the easy time conversion table found on this link: http://timingyourtrade.com/component/content/article/38-getting-started/58-time-conversion-easy-reference-guide.html)

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Get ready to Sell GBP/USD on Tuesday Feb 18, 2009

The fundamental reason:

At 5:30PM, Bank of England Minutes of the Interest Rate Meeting will be released which should be bearish for the interest rate outlook for the GBP

Timing Window:

Get ready to sell GBP/USD at these times should a Technical Set up or a Trading signal appear

Philippine Time: 8AM to 12NN (This is GMT+8)

(For non-Philippine residents, please download and use the easy time conversion table found on this link: http://timingyourtrade.com/component/content/article/38-getting-started/58-time-conversion-easy-reference-guide.html)

Thursday – Feb 19, 2009

No viable opportunities on Thursday.

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Friday – Feb 20, 2009

Get ready to Sell EUR/USD on Friday Feb 20, 2009

The fundamental reason:

At 4:30PM, German PMI (GDP related data) will come out which should be bearish for the Euro

Timing Window:

Get ready to sell EUR/USD at these times should a Technical Set up or a Trading signal appear

Philippine Time: 8AM to 12NN (This is GMT+8)

(For non-Philippine residents, please download and use the easy time conversion table found on this link: http://timingyourtrade.com/component/content/article/38-getting-started/58-time-conversion-easy-reference-guide.html)

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Get ready to Sell GBP/USD on Tuesday Feb 20, 2009

The fundamental reason:

At 5:30PM, UK retail sales (GDP related data) will come out which should be bearish again for the GBP

Timing Window:

Get ready to sell GBP/USD at these times should a Technical Set up or a Trading signal appear

Philippine Time: 8AM to 12NN (This is GMT+8)

(For non-Philippine residents, please download and use the easy time conversion table found on this link: http://timingyourtrade.com/component/content/article/38-getting-started/58-time-conversion-easy-reference-guide.html)

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Well that’s my forecasts and timing windows for this week, please only follow my advice at your own risk.

Should anything change I will update this post!

Monsterpips to All!

-Mark

P.S. Happy Valentines To All!

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