EUR/USD Daily Video, February 27, 2012

[Sive Morten]

Good morning,
although market shows nice upward momentum, it is approaching to significant area of resistance. Although it will probably show some upward continuation - do not jump in running train and to buy some deep looks logical in current situation:





The technical portion of Sive's analysis owes a great deal to Joe DiNapoli's methods, and uses a number of Joe's proprietary indicators. Please note that Sive's analysis is his own view of the market and is not endorsed by Joe DiNapoli or any related companies.

 

[TradeSpotting]

Hi Sive,

I agree to wait. The EURX has now retraced to the 61.8% fib level on the daily chart, up near the daily 200 EMA at around the 106 level. This level is critical.


I will be waiting to see whether the 'risk on' sentiment continues at the start of the week and whether a break and hold above this 106 level can occur. If so, I will look for opportunities to further trade 'risk on'.

I am already long on the E/J from last Monday on the triangle breakout (up 400 pips with 350 locked in) and Long on the A/J from 86 with stop at b/e, also from a triangle break out.

 

[aceofswords77]

Hi Sive, hope you are well! Thank you so much for your analysis, which I am finding highly informative and educational.

Just a quick question regarding gaps....'Usually' gaps tend to be filled within a week of formation, but the gap up from 1.3157 to 1.3171 that was formed between 17th & 19th February, is yet to be filled. Could there be a return to this area in the short term?

Your thoughts would be appreciated.

Thanks again!