September 11, 2015Daily Analysis

9/11 Analysis: Perfect Pattern on the CAD/JPY

Just 7 minutes after the London open, we have a perfect pattern form with the JPY (yellow line) strengthening with huge momentum (see the steep line to the far right). The CAD is diverging away with the same exact look to the downside.

When we see this opportunity on our indicator, we can enter immediately with a market order.


From the point you would have seen the pattern on our indicator, price went straight down over 33 pips. Another high probability, low risk trade set up with perfect timing.  It’s all about having the patience to wait for the right conditions to appear in the market.

Watch the entire video analysis below:

[00:00 – 04:03]

[slide] [8 currencies on black: blue/pink spike left, green dives/yel rises rt of ctr]
Hello, I’m James Edward from Welcome to today’s Currency Strength Analysis training video. It’s the last day of the week–Friday.
I have an example for you for break-out trade from the London session today. It’s actually a trade that I took, myself, using my more advanced system, as well, to coincide it with both strategies.
[points] This is what the indicator looked like at the London Market Open earlier today and you can see there isn’t really any entry opportunity immediately at the Open. The [green line] Canadian Dollar (CAD) has been, overall, the weakest currency. But it’s currently not moving any further down to weakness. And there’s nothing, really, over here [points to blue, yellow] on the strong side, although the Yen (JPY) has been the strongest currency. But, again, this is now starting to move back down so you don’t have anything that you would enter immediately at the Open.
But, you don’t need to wait very long. And, I’ve–

[slide] [new view of black horiz-charted currencies: lilac/yel climb, green/pink dive rt]
(continues) … always said in this sort-of situation, you should just sit there and watch how the Market develops. And this stage, here, is 8:05–five minutes after the Market is opened in London. You now see the [green line] Canadian Dollar (CAD) move down, very, very steeply and the [yellow line] Japanese Yen (JPY) is now [points] moving up to strength.
So that is an option that should catch your eye, hopefully. (This is actually the moment that I entered, but remember, I do use a more advanced system and I have a better Currency Strength Indicator to give me more information so I was able to see this developing a little earlier than you would be.) But, nevertheless, on this indicator, you should be able to see that, in real time, developing and that should jump out and say to you that momentum is now starting to kick in.
And, even if you’d waited just a couple of minutes longer, you now have the absolute perfect pattern [points to yellow] of entry. This is seven minutes past eight o’clock, seven minutes after the Open. You have the [yellow line] Japanese Yen (JPY) moving up almost vertically to strength and the [green line] Canadian Dollar (CAD) moving down almost vertically to weakness. And they are acting kind of like a mirror image of each other, which I’ve said before is a very strong indicator of a high-probability trade.
So, this could be the moment that you entered, seven minutes after the Open. And, if I go over to the price chart now–

[slide] [B&W vertical line CADJPY.MS]
(continues) … This is the Canadian Dollar (CAD) against the Japanese Yen (JPY). Remember, we’re selling the Canadian Dollar (CAD), buying the Japanese Yen (JPY). This is the London Market Open up here, [pointer abt center of chart before decline] so this is 8 A.M. London time.
You can see that immediately after the Open the price started moving down. But, it was in the fifth minute onward that it really kicked in with the momentum. (I actually entered right about this level, here [point label “Grid 9100 90.999, indicates diagonal line down from pivot] and you can see the price in total went down about 33 pips.)
But let’s work on a worst-case scenario–that you got into this at the lastest-possible moment–at the bottom [indicates diagonal down from pivot] of this price bar or even at the close of it–and, even from there, the price has still gone down 26 pips in total. So, again, you would’ve been able to walk away with your 20-pip total break-out trade profit from that.
And, that is all from–

[slide] [previous view of horiz-charted currencies: lilac/yel climb, green/pink dive rt]
(continues) … waiting patiently for the right conditions.
If we go back to the start of–

[slide] [1st slide view]
(continues) … the market, there was nothing there to say that you should be entering immediately. But, then, between five and seven–

[slide] [2nd view]
(continues) … minutes later, you get the perfect opportunity where the momentum is really kicked in. And, again, an interesting thing about this is it’s the [green line] Canadian Dollar (CAD) against the [yellow line] Japanese Yen (JPY). Now, the Canada-Yen pair is not a popular pair that most amateur traders are trading. Most of them will be looking at the Euro (EUR), the U. S. Dollar (USD) that are flailing about in a non-moving market. But you, as a Currency Strength trader, will be able to identify immediately right from across the entire market which is the best strong currency, which is the best weak currency. You can then find the correct pair and trade it, very successfully, with a high probability of success, all because you’re looking at the real Market and you’re identifying the real movements which most amateurs simply are not.
So, I think, today, again, another good example the kind of pattern that you should be looking for, even if that means a little bit of patience and waiting five minutes after the Market to allow the Market to develop. And, then, you spot the opportunity and you jump on it as soon as you see it.



You can see that our Currency Strength Indicator is an effective tool for picking out the highest probability, lowest risk trade set ups while avoiding market conditions that aren’t favorable. If you keep using this tool every day along with our daily Forex analysis, you will increase your win rate and be on your way to becoming a profitable trader long term.

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James Edward
James Edward has been a successful Forex hedge fund manager & educator for over a decade. He founded Complete Currency Trader, a London based firm that has consistently trained individuals to become professional and profitable traders long term using the individual currency strength analysis methodology. CCT is an elite Forex educational firm and has a reputation second to none with over 90 positive reviews and an overall 4.538 out of 5 rating on the third party verification site Forex Peace Army. James’s affable personality, expert knowledge, notoriety for getting results, and steadfast dedication to his clients, has secured his position as one of the most trustworthy, liked, and in demand authorities in the industry.