Sive Morten
Special Consultant to the FPA
- Messages
- 18,743
Morning guys,
So, its summer time... EUR doesn't hurry up with action as nobody wants to act in front of NFP release. That's why we do not have big changes on daily chart - price still stands around the top of our X2 harmonic swing and keeps B&B "Sell" loaded:
So our major topic today is how and when B&B could start. On 4H time frame market is coiling below K-resistance and WPP area, and forming a kind of pennant consolidation:
So, downside action has not started immediately after reaching of strong resistance. It makes me think that we have two major scenarios. First one is reaching of 1.1730 before downside reversal. Take a look that around 1.1730 we have extended hourly target. Small AB=CD pattern also should finish somewhere around.
Thus, if you've taken short yesterday according to our analysis - move stops to breakeven and watch for 1.1730.
Second scenario - EUR will turn down and form 1.618 butterfly "Buy" which will hit B&B target. This, in turn, will give us "222' Buy on 4H, as we've suggested. Now it is difficult to make any reasonable forecasts, as mostly it depends on NFP numbers...
So, its summer time... EUR doesn't hurry up with action as nobody wants to act in front of NFP release. That's why we do not have big changes on daily chart - price still stands around the top of our X2 harmonic swing and keeps B&B "Sell" loaded:
So our major topic today is how and when B&B could start. On 4H time frame market is coiling below K-resistance and WPP area, and forming a kind of pennant consolidation:
So, downside action has not started immediately after reaching of strong resistance. It makes me think that we have two major scenarios. First one is reaching of 1.1730 before downside reversal. Take a look that around 1.1730 we have extended hourly target. Small AB=CD pattern also should finish somewhere around.
Thus, if you've taken short yesterday according to our analysis - move stops to breakeven and watch for 1.1730.
Second scenario - EUR will turn down and form 1.618 butterfly "Buy" which will hit B&B target. This, in turn, will give us "222' Buy on 4H, as we've suggested. Now it is difficult to make any reasonable forecasts, as mostly it depends on NFP numbers...
