Trading In Black And White Forex Trading Newsletter - 3/30/06

Trading In Black And White Forex Trading Newsletter - 3/30/06
So, hopefully, you have been keeping up with my looks back on the Forex markets. Forex trading, like any other skill, can be improved with research and education.That being said, the greatest asset for research is hindsight. Remember, in Forex trading, history tends to repeat itself. It is this fact that we will try to exploit in our looks back at Forex trading.So far, we have focused only on Cable, which is a nickname for the currency pair - British Pound / US Dollar. The symbol for cable is usually represented as GBP/USD.In our technical analysis, we use time frames ranging from weekly to hourly. This way, we have a good outlook on the trend in the both the long and short term.Remember, this article was written well before you are actually reading it. Use this information as a tool only. By the time you read this, our support and resistance levels will have changed.Do not attempt to use this information as trading advice in any way whatsoever.I look forward to hearing your thoughts and comments.OK, let's get to the trading.Cable appears to moving once again. I really feel good to have a daily range well over 100 pips that was not directly driven by news. We fell short of getting in our trades last night, there just was no real bounce before the down move.The 1.7440 level only really had two reasons to take it, and was only 14 pips away from the close of the previous days trading close. That's just a little too aggressive especially with the volatility starting to increase.The 1.7440 level is now much more important as we add a last nights high to the growing list of reasons to take it. Cable has turned outlook consolidative first but upside should be limited by 1.744 resistance and bring fall resumption.We feel the resistance should holds below 1.7420 without news to push it past, and we will expect the price action to resume its downward move towards 1.7048.Now, go ahead and take a look at what trading activity transpired in the session following when this article was written. Hopefully, it went my way.Getting the proper forex trading education, to be able to recognize that adjustments should be made, and more importantly understand how to make those adjustments, is the best way to survive and thrive in this or any kind of market. Learn to be an independent trader and control your own future.