G’day Surfers – nice start to the week?
I was looking for Short entries yesterday but put pips in the bank trading Long. With long term Support broken, EUR/USD was under pressure (again) yet once more, the cross has fought its way back above that level. The small Ascending Triangle http://clip2net.com/s/55YxAc provided the setup for us to trade the Bullish leg of our Play of the Day, which went nicely to target. Conflicting signals prevented further entries.
Despite the fightback, EUR/USD is not yet clear of the former Support Trendline, now turned Resistance http://clip2net.com/s/55Zkgl . Currently positioned above the line, Price Action (PA) must also contend with the Resistance of our Daily Critical Zone @ 1.2909. A now substantial Bearish Continuation Flag http://clip2net.com/s/55Zi2t adds to the still existing pressure on the cross. Daily Pivot has been tested and still heads a Bearish formation in a very busy part of the chart.
The Day Ahead
I get the feeling we are camped in this vicinity for a little while. PA seems comfortable criss-crossing the aforementioned long term Trendline but there is a host of both Support & Resistance surrounding it. My sentiment is still slightly Bearish. Maybe a re-test of 1.2909 to precede the re-breaking of that line!
High Impact News
Again – nothing.
Trust your Tuesday is Terrific.