This blog provides market commentary on the USD/JPY and SP500 using moving averages and trend lines for the following
- Beginners in trading
- Those interested in trading using moving averages.
- Those who do not know how to draw trend lines.
- Those who are incurring only losses in trading.
- Have never had someone teach you how to trade.
We also provide an overview of the trade on tiktok and instagram. If you have any questions, please feel free to send us a comment or direct message. So without further ado, let’s begin today’s market commentary!
It looks like we will end the week with a cross candlestick. It would be a good idea not to force a trade this week and enter the market next week and beyond to see what the market direction will be. There are two factors that will determine the direction for the next few months: the first is today’s announcement by the incoming Bank of Japan Governor, Mr. Ueda, regarding his policy. The second is the U.S. economic indicator, CPI.
Either way, the principle of trading is not to go against the trend, so do not enter until the trend is clear.
Although the daily lows and highs appear to be breaking up, the moving averages are converging and the market environment is directionless. Do not trade when moving averages are in this type of shape.
4 Hourly Chart
The announcement of the next Bank of Japan governor, which was made in the evening of Japan time, triggered a volatility in the market, but the market has remained in a range. As with the daily chart, the moving averages are converging, and we should refrain from trading this week.
The week is likely to end on a negative note, but looking at the moving averages, the short and medium-term lines are pointing upward, and a golden cross is likely. It will take another week or two for a golden cross to occur, but it is a good idea to accumulate “buy” positions when the price drops.
Although the market was down this week with four negative lines, it was a perfect market environment to accumulate “buy” positions. It may be a short period of adjustment, so those whose margin maintenance ratio is less than 5000% should not increase their “buy” positions, but should remain calm and wait and see.
4 Hourly Chart
There is an 800-hour moving average around $4,000, and the price may fall to that level, so those whose margin maintenance is less than 5000% should not increase their “buy” positions. If your margin coverage is higher, do not hesitate to “buy” when the price drops.
Analysis tools and reliable brokers
Finally, let me introduce you to the analysis tools and brokers I use. If you use a shady broker, you may not be able to withdraw the money you earn from your trades, and the commissions can be very high, so open an account with a broker you trust.
Chart Analysis Tools
Trading View is a chart analysis tool that can be used either browser-based or as an app.
- The system runs on a browser, so it can be used on PCs and smartphones, and charts can be synchronized.
You can use it as if you were analyzing charts on the big screen of your home computer and checking price movements on the go. Since other chart analysis tools cannot be used across browsers or applications, is this feature a major advantage of using Trading View?
- Can display charts for a variety of financial instruments.
Financial markets are not formed by single financial instruments; each market influences the other and the price moves. Therefore, even currency traders need to check the U.S. bond market and the yen market. Therefore, there is no way to avoid using Trading View, which allows you to compare the price movements of various financial instruments.
- Free of charge.
Trading View can be used free of charge by simply registering (Basic only). （However, you can only display up to three indicators and one chart at a time, so use the Pro or Pro+ versions for $14.95/month. Trading View is a very good chart analysis tool, so we recommend that you consider the monthly fee as a necessary expense. Once you use it, you will not be able to use any other chart analysis tool.
Choosing a broker is a very important factor in financial trading. This is because you may be deprived of high commissions, or you may not be able to withdraw your hard-earned profits. To avoid this, choose a reliable broker that has a large number of users and has been in business for many years. In this blog, we recommend XM Grobal, the most reliable broker.
- The largest FX provider with over 5 million users in 190 countries.
- You can get bonuses when you open an account or deposit money into your account, and you can trade even with zero funds.
- The zero-cut system, which is a system that allows the company to avoid taking on debt.
These are the advantages of using XM Grobal. To avoid losing your hard-earned profits from trading, please click here to open an account. It only takes about 3 minutes to open an account, so why not start trading immediately with the bonus on your deposit?