EUR/USD trend: sell.
GBP/USD trend: sell.
USD/JPY trend: buy.
EUR/JPY trend: sell.
GBP/JPY trend: sell.

Floor Pivot Points
Pair	3rd Sup	2nd Sup	1st Sup	Pivot	1st Res	2nd Res	3rd Res
EUR/USD	1.2452	1.2826	1.3037	1.3411	1.3622	1.3996	1.4207
GBP/USD	1.4910	1.5243	1.5417	1.5750	1.5924	1.6257	1.6431
USD/JPY	81.79	82.28	83.19	83.68	84.59	85.08	85.99
EUR/JPY	104.87	107.59	109.50	112.22	114.13	116.85	118.76
GBP/JPY	126.54	128.68	129.90	132.04	133.26	135.40	136.62

Woodie’s Pivot Points
Pair	2nd Sup	1st Sup	Pivot	1st Res	2nd Res
EUR/USD	1.2785	1.2956	1.3370	1.3541	1.3955
GBP/USD	1.5203	1.5338	1.5710	1.5845	1.6217
USD/JPY	82.39	83.39	83.79	84.79	85.19
EUR/JPY	107.39	109.10	112.02	113.73	116.65
GBP/JPY	128.45	129.44	131.81	132.80	135.17

Camarilla Pivot Points
Pair	4th Sup	3rd Sup	2nd Sup	1st Sup	1st Res	2nd Res	3rd Res	4th Res
EUR/USD	1.2926	1.3087	1.3141	1.3194	1.3302	1.3355	1.3409	1.3570
GBP/USD	1.5312	1.5452	1.5498	1.5545	1.5637	1.5684	1.5730	1.5870
USD/JPY	83.32	83.71	83.83	83.96	84.22	84.35	84.48	84.86
EUR/JPY	108.86	110.14	110.56	110.99	111.83	112.26	112.68	113.96
GBP/JPY	129.27	130.20	130.50	130.81	131.43	131.74	132.04	132.97

Tom DeMark’s Pivot Points
Pair	EUR/USD	GBP/USD	USD/JPY	EUR/JPY	GBP/JPY
Resistance	1.3517	1.5837	84.84	113.18	134.33
Support	1.2932	1.5330	83.44	108.55	130.97

Fibonacci Retracement Levels
Pairs	EUR/USD	GBP/USD	USD/JPY	EUR/JPY	GBP/JPY
100.0%	1.3785	1.6083	84.18	114.94	134.18
61.8%	1.3562	1.5889	83.65	113.17	132.90
50.0%	1.3493	1.5830	83.48	112.63	132.50
38.2%	1.3423	1.5770	83.31	112.08	132.10
23.6%	1.3338	1.5696	83.11	111.40	131.61
0.0%	1.3200	1.5576	82.78	110.31	130.82

EUR/USD jumped today on hopes that tomorrow’s meeting of the European Central Bank’s Governing Council will help to find solution to European debt crisis. Most analysts, though, aren’t convinced that any significant change of the situation will follow the meeting and think that the rally is short-lived. US economic reports were generally close to forecast values, though employment and construction spending reports showed significantly better figure than was expected. EUR/USD trades currently at 1.3126.

ADP employment rate showed an increase by 93k from October to November, while analysts promised an increase by 70k. From September to October an increase was by 82k, revised from 43k.

US nonfarm productivity increased at a 2.3% annual rate during the third quarter of 2010, revised from a previous reading of 1.9%. Forecasts was near the actual figure, promising a 2.4% growth.

ISM PMI index posted a small drop to 56.6 in November from 56.9 in October. The actual value was near the median forecast of 56.4.

Total construction spending grew by 0.7% in October, the same rate of growth as in September (which was revised from 0.5%). The reading frustrated analysts who expected a decline by 0.3%.

Crude oil inventories increased by 1.1 million barrels and total motor gasoline inventories increased by 0.6 million barrels last week.

EUR/USD rose today, fell after the European Central Bank kept the interest rates unchanged and later advanced again as claims for unemployment benefits in the US unexpectedly increased. EUR/USD currently trades at 1.3181 after it reached the intraday low of 1.3060.

Initial jobless claims in the US increased from 410k to 436k, more than a 425k growth that forecasts have promised.

Pending Home Sales Index, a forward-looking indicator, gained 10.4% in October. That’s much better than the previous reading of a 1.8% decline and the expected value of a 0.7% drop.

One could call Technical Analysis of the Currency Market by Boris Schlossberg a pure technical analysis book, but it wouldn’t be a completely correct definition. The book also talks about the psychology of trading and risk management; an introduction to the Forex market (FX 101 chapter) is also made for the very new traders. My overall feeling after reading this book is rather mixed — of course, it gives a lot of insights regarding technical analysis and entry/exit strategies that can be used by Forex traders, but it’s also quite biased and suggests very dangerous (in terms of risk/reward) systems.

It’s a medium-length book with a lot of chart examples and some support tables. Although the amount of continuous text may seem overwhelming at times (for a trading book), it’s not that difficult to read. The book states the following theses:

* Forex is an excellent market for a technical trader.
* Despite what it seems, charts aren’t completely random; they are based on human behavior and thus are affected by certain patterns.
* Prices can either range or trend — your trading behavior should depend on what type fits your personality better.
* It’s not a good idea to trade trend-following strategy in ranging markets.
* Candlestick charts offer the most informative representation of the market situation.
* Fibonacci levels aren’t “magic numbers” but can help in trading.
* Bollinger Bands indicator is one of the best for trend trading.
* “Cut your losses short and let your profits run” isn’t for everyone.
* Knowing yourself is very important to determine your risk/reward strategy.

I can’t say that I’ve really enjoyed reading Technical Analysis of the Currency Market. It has a lot of things that I don’t agree with and also lists a lot of data (strategies mostly), which I am not interested in. In spite of these facts, I can assure you that it’s not a bad trading book and had the following advantages:

* Several interesting indicator-based strategies.
* No difficult calculations — the book will be easy to understand even by the newbies.
* Good notion about the different personalities fitting different approaches to the market.
* Promotes organized approach to trading.

Yes, Boris Schlossberg does a great job with this book, but I probably wouldn’t read it again if I was to return back in time. Even without considering the fact that I knew almost 90% of information covered there, it still has some disadvantages:

* Some factual mistakes (margin calculation, status of NZD, etc.)
* Promotion of rather dangerous risk/reward strategies.
* Mixing risk management with position sizing.
* Shown price pattern examples are very far-fetched.
* No good examples of trade positions gone wrong.

To conclude the review I must say that Technical Analysis of the Currency Market is a great introduction to the technical analysis and can be a good book for the Forex trader’s education, but you shouldn’t limit your study to this book — it’s almost useless (and even somewhat dangerous) if being relied upon as the only book. Some other books on trading would be really helpful after or before reading this one.

Firstly, currency pairs are what traders refer to two currencies being traded against each other. There are two types, major and cross. Major currency pairs, EUR/USD, USD/JPY, GBP/USD, USD/CHF, USD/CAD, AUD/USD, and NZD/USD are often traded in Forex and also used by many traders all over the world. Cross currency pairs are basically any kind of currency that does not have the US dollar.

Traders refer to the base and the counter or quote currency. For example, EUR/USD; EUR is the base currency and USD is the counter currency. In trading, you will be shown the exchange rate, for example EUR/USD = 1.5432. This means that you can buy 1 EUR for a price of 1.5432USD. This principle is congruent with selling pairs. You will gain 1.5432USD if you sell 1 EUR. Forex Bid And Ask Price

Another thing you need to understand in Forex Currency Trading is the bid and ask price. If you looked at the given currency pair, you will see that the EUR is paired with USD. On your trading software, your broker will show this to you as EUR/USD = 1.5432/33. 1.5432 is the bid price and 33 is the ask price. The bid price is what your broker is willing to pay for the pair that you are selling, thus you will earn 1.5432.

The ask price, on the other hand, is the price that your broker will sell and which you need to pay to buy the currency pair. It is often the ask price that is higher than the bid price and the difference is often rather small. The slash that you see between the currency pair is called the spread. The spread represents the cost you need to deal with the broker when buying and selling the pairs. It is also important to know that brokers do not offer the same spread, which is why it is up to you to see who offers the best spread because this is where you can gain your revenues from.