Sive Morten
Special Consultant to the FPA
- Messages
- 18,651
Morning everybody,
Indeed, EUR was looking heavy yesterday and confirms our suggestion by further drop and reaching of our daily COP. On daily chart EUR has no other limitations - no Fib levels or OS level, so it has free space for downside continuation. Next target here is OP around 1.0610. This target coincides with big COP of major price swing. As target stands below recent lows - hardly they remains intact and stops also should be hit below it. Although I'm not sure that this happens today:
On 4H chart we have intermediate target as well. This is XOP of the same AB-CD pattern, which OP we've discussed yesterday and - 1.27 butterfly extension. They also stands at the same area. This target could be reached within few hours.
1.618 butterfly extension mostly coincides with daily OP - just 20 pips difference between them
That's being said, we still do not see good context for long entry. Bears could hold positions, just do not forget to manage stops.
Indeed, EUR was looking heavy yesterday and confirms our suggestion by further drop and reaching of our daily COP. On daily chart EUR has no other limitations - no Fib levels or OS level, so it has free space for downside continuation. Next target here is OP around 1.0610. This target coincides with big COP of major price swing. As target stands below recent lows - hardly they remains intact and stops also should be hit below it. Although I'm not sure that this happens today:
On 4H chart we have intermediate target as well. This is XOP of the same AB-CD pattern, which OP we've discussed yesterday and - 1.27 butterfly extension. They also stands at the same area. This target could be reached within few hours.
1.618 butterfly extension mostly coincides with daily OP - just 20 pips difference between them
That's being said, we still do not see good context for long entry. Bears could hold positions, just do not forget to manage stops.
