*Signal Update: As of 01/27/2015 @ 19:50 EST The Global Currency Scalper has cancelled its open order of USD/SGD as prices have broken through our potential stop price of 1.35100.
As of 01/26/2015 @ 22:21 EST:
We have identified a possible short trade in USD/SGD. Although we are not fans of going against the trend we see signs of buyers tiring which may give us an opportunity from the short side. Keep in mind if you take this trade be sure to stick to your stop as buyers could step back in at any time and make another run higher. Looking at the chart you can clearly see this pair has been in an uptrend since August of 2014 without much of a pullback. The latest channel has been formed from the lows in December 2014 to its recent highs. We have identified a Dark Cloud Cover bearish signal last session which may attract some sellers. Also if you take a look at the monthly chart below you can see the recent run has come right to the bottoms set all the way back in 2008 which could very well act as resistance as old support usually becomes new resistance.
The Global Currency Scalper will be taking a short position if the USD/SGD breaks 1.32840 with price targets of the figure of 1.32000 and 1.31360 then the figure of 1.31000 and 1.30740 and possibly as low as the figure of 1.30000. This could be a possible shift in sentiment and if our price level is taken out initiating a short position we could be seeing the shift starting. We will set our stop with a break of 1.35100, if this level is breached prior to initiating our position our view will turn neutral and further evaluation will be needed.
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