Sive Morten
Special Consultant to the FPA
- Messages
- 18,571
EUR/USD Daily Update, Thu 16, December 2010
Good morning,
EUR has broken through hourly Confluence support yesterday, and it makes me think that bearish bias is stronger currently. I suspect that market should reach the nearest daily target at 1.30.
I also attach 4-hour chart and hourly chart. On 4-hour chart we see that 100% expansion target is at 1.3165, this is also an Agreement btw. This is a nearest target, but currently market turns to consolidation.
On hourly chart we can see why it has happened - market has reached 1.618 expansion from previous ABC-top pattern.
I think that today's trading plan could be as follows - there are couple of resistance levels to watch for sell signals on hourly chart - 1.3270 and Confluence at 1.3309-1.3314. If market will show some ABCD retracement that will give us an Agreement with one of these levels, we can enter short with stops above the recent swing down - 1.3380. The nearest target 1.3165
When the market reestablish down move - move stop to b/e and watch how market will response in 1.3165 area. I still think that this area will not hold due to market behavior on daily time frame. It will really happen, then the next target is 1.30
Good morning,
EUR has broken through hourly Confluence support yesterday, and it makes me think that bearish bias is stronger currently. I suspect that market should reach the nearest daily target at 1.30.
I also attach 4-hour chart and hourly chart. On 4-hour chart we see that 100% expansion target is at 1.3165, this is also an Agreement btw. This is a nearest target, but currently market turns to consolidation.
On hourly chart we can see why it has happened - market has reached 1.618 expansion from previous ABC-top pattern.
I think that today's trading plan could be as follows - there are couple of resistance levels to watch for sell signals on hourly chart - 1.3270 and Confluence at 1.3309-1.3314. If market will show some ABCD retracement that will give us an Agreement with one of these levels, we can enter short with stops above the recent swing down - 1.3380. The nearest target 1.3165
When the market reestablish down move - move stop to b/e and watch how market will response in 1.3165 area. I still think that this area will not hold due to market behavior on daily time frame. It will really happen, then the next target is 1.30