Video: Why Your Setups Aren’t High Probability – Avoid These Market Conditions

Thursday Technical Analysis of the high probability opportunities for this week in Forex, Indices & Commodities.

Click on the video to watch the full breakdown

There are many individual reasons you may have for not entering trades, but the best reason of all to Do Nothing has to be when you have several reasons for not entering.

This week we have a few of those in the markets. Let’s point them out:

• It’s a new month cross-over – which brings a reassessment of price action as a new monthly candle forms.
• It’s NFP week – where markets can get choppy
• Major Levels – whether whole numbers, or higher timeframe trendlines, or just a level the market has shown interest in… all can be relevant, and especially poignant when there are several of them on the chart at the same point in time where you’re looking to enter.
• Central Bank rate announcements – it goes without saying these have consistently major consequences

In short, one or a combination of these factors create low probability conditions.

It’s not about how many losses or wins you take that will damage your account; what’s most damaging is participating in the arena of the market when the conditions aren’t right, exposing yourself to a dangerous environment that’s in turmoil…. that’s what is most harmful in the long run.

As of this post, before the NFP release – the cleanest of this week’s picks from our shortlist is S&P500. The technicals line up, price action is clean, and it’s the one that has the least low-probability factors.

If the S&P500 isn’t to your liking, or you’re not willing to take the risk, more opportunities are likely to present themselves next week, once we have a clearer price action picture of the week ahead.

Trade safely.

In this video we go over these opportunities for the week:

• GBP/USD
• USD/CAD
• EUR/CAD
• EUR/GBP
• EUR/NZD
• SP500
• AUD/NZD

Written by: Dima Mihailovich, Technical Analyst for Forex Prop News

Contact and follow Dima on Twitter: @dimafpn

(Please note: All comments made in this video and article are not trading or investment advice and are for education purposes only. You are responsible for your own decisions and the associated risk.)