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Showing posts from December, 2010

Gold Technical Chart | 25 Dec 2010

Gold is one of the favourite commodity for every investor. Simply because of its liquidity and asset of every country. Let us analyze the technical chart of Gold using Doda Donchian and Ichimoku indicators.

Doda-Donchian gave buy signal @1378.90 just below kumo. Price is now inside kumo. It needs to break 1384.38 to start bull run. Flat line of Senkou Span B confirms that. Whenever the Senkou Span A or Senkou Span B lines are flat, the price gets attracted towards that flat line. Here, the flat line is on upside. So, price will certainly move upwards in coming days.
If you see the daily chart of Gold, the price always find support on Senkou Span A. Isn't that interesting point?
Share your views in comments section below.

AIG Daily Chart - 19 Dec 2010

Technical chart of AIG and its movement using Doda-Donchian and Kumo.

Around 21st Sep 2010, Doda-Donchian gave Buy signal for AIG. It faces resistance on kumo after that, but it crossed it without any problem as the thickness of kumo was very thin. It went upto the high of $45.93, after which it started its down movement.
Then on 10th Nov 2010, it gave Sell correction on Doda-Donchian @42.47 but it got support on Kumo viz. $40.70, and it re-started it upward journey. Another Buy signal from Doda-Donchian and its last close was $52.57.
I illustrated this example to show how easy it becomes trading when we combine the power of Doda-Donchain and Ichimoku. Kumo of Ichimoku can be best use to get important support & resistance levels.. I'll code Kumo in my next version of Doda-Donchain.
Now, what next. Although, the price is rising, but Doda-Donchain line is flat. If it continues to remain flat, it will attract price. That means we can see its price around $47 in coming days. Howe…

Technical analysis of EURUSD Weekly Chart

EIRUSD is range bound from the last so many days, not giving any clear signal. Let's look out why and when will it give clear signal.

This is weekly chart of EURUSD with Doda-Donchian indicator. I've added Kumo of Ichimoku indicator also. For those who are new to Ichimoku, this is one of the best Japanese indicator, you can have. I'm fan of its Kumo lines.
If the price is above kumo, the chart is in bullish phase.
If the price is below kumo, the chart is in bearish phase.
and if the price is inside kumo, the chart is range-bound.
Right now, on weekly chart, EURUSD is inside kumo. That's why you see range-bound movement of its price. Till it does not get out of kumo, you will not witness any clear trend.
On the upside, it's major resistance is @1.3510 and on the downside, its major support is at Doda-Donchian line @1.3079 and then @1.2785. Closing on either side above/below will start another trend.
Till  then, it will move here and there. So, don't forget to mark…

EURUSD H4 Technical chart 16 Dec 2010

This time I'm analyzing technical chart of EURUSD on H4 time frame using Doda-Donchian and Ichimoku indicators.

As it is clearly seen in the chart, that price did not cross Kumo and faces strong resistance there, whether it is crossing above kumo or below kumo. That's why we're seen range-bound movement of EURUSD in last few days. This time it's trying to cross below kumo. It's downtrend will start if it CLOSES below kumo, which is it's support 1 as on Dec 16 2010.

EURUSD Technical Chart 10 Dec 2010

This is one of the example to use Doda-Donchian and Ichimoku indicator together.
From the last couple of days, we've witnessed range-bound price movement in EURUSD currency chart. Still, no one knows which position to take. The solution lies in Ichimoku indicator.

I've plotted Doda-Donchian and Ichimoku indicators in above chart. Just look at Kumo in the chart. The bottom line is flat. As explained in many of my previous posts, flat lines will always ATTRACT price. So, in this case, chart suggests that price will come down in coming days. So, avoid any long position till the price closes above kumo i.e. 1.33017 and confirmed by Doda-Donchian.

Doda-Donchian ver 2.0 Released

Based on the feedback and some pending features, I'm releasing Doda-Donchian version 2.0 today. Showing sample chart of EURUSD on time frame H4 with Doda-Donchian 2.

Changes in this version from ver 1.0

Instead of dotted red-line, I've used solid blue line. Red color has been used elsewhere.
Shows all the information on top-right corner of the screen instead of bottom-right. This will not interfere with your chart on the screen.
Another feature I've added in this version is support and resistance lines (dotted red and green lines on screen) with their value on top-right. These values are based on pivot points and Fibonacci levels. If the price crosses Resistance 1, there are strong chances, it will move till Resistance 2. Similarly, if the price fails to get support at Support 1, it's next target will be Support 2.
Just right-click on the following link and choose Save File As or Save Target As...

Download ver 2.0 from here

Please share your feedback on this in comments s…