Good morning all! Looking at the charts, we can notice a clear 1-2-3 reversal pattern coming into the London session. We are however not certain if this will be the beginning of a sustained upward movement. At the moment, the 1.3987 level is obviously a key resistance line; I could be looking to go Long if it's breached convincingly as we come into the US session.
By the way, I got into that long trade yesterday and got stopped out not long after. That's always the thing about anticipating a reversal; the effects of the hitherto dominant trend might still impact significantly on the markets.
Anyway, I'm hoping for some great results today though I won't be at my trading desk for much longer...
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Hey wale,
ReplyDeleteThe greenback's strength is impressive. Its just taking back some pound of flesh from its counter parties. The EUR/USD is pretty much oversold now and I can spot divergences on some indicators.I anticipate some retracement / correctiveness. Personnally, its time to go long in as much as I still think the long term bias for the pair is bearish.
very correct,
ReplyDeletebut just like you mentioned, the overall bias is still downwards which makes this business of going Long quite tricky.
We'll just have to wait it out... at least until the market moves convincingly in the upward direction.