Hello traders!
Few days ago I was wondering whether EUR/USD was ready to take the jump from 1.60 to 1.70, but apparently it’s not ready yet. Throughout the last few days EUR/USD has formed a double top off the 1.60 key level (in fact, it overshot to 1.6040, probably running some stop losses all along) and it’s plummeting from there. Actually, we can clearly see a 1-2-3 reversal formation with a subsequent up-channel breakout to the downside.
What does that mean? it means that range-traders (people who trade within ranges) might get some short opportunities during the following days if we get a little bit of a pullback after that up-channel breakout, perhaps aiming for the low 1.50′ies where the range bottom is to be found.
28 July, 11:33 am
Hi Hector,
to me the Eur/Usd weekly chart looks to be pulling back after the breakout. I will be taking positions on long signals from here on and won’t be bearish until the weekly chart looks like a sell.
cheers
Ray
28 July, 11:32 pm
Hector and Ray:
Since the EUR/USD is not ready to take off in this moment, and it’s retracing back to the 30SMA after a bounce back from resistance at 1.5990, wouldn’t it be ’safe’ to go short as (hector) explained above to around 1.50ish area ? What risk would you possibly be facing if it quite clearly seems to be attracted by a magnet at support ?
..::Daniel::..
11 August, 2:35 am
hi, andar here, i just read your post. i like very much. agree to you, sir.