Somewhat like Formula 1 Drivers, the Bulls & Bears spent much of yesterday jostling for position with the “lead” changing hands many times as the Final Lap approached. With the chequered Flag directly in their sights, the Bears accelerated and the Flag was broken in “lap record” time. Yes, the Bearish continuation Flag “out drove” the Bull’s Triangle. A false break of the Triangle almost setup for me to play the break but the final candle ran out of fuel, on the last lap. The earlier Long order timed out so no entry.
With the F1 now yesterday’s news, the next battle begins. EUR/USD’s “crash” during yesterday’s GP will require some re-building or consolidating. This process has begun and an untested Daily Pivot (DP) has closed in on Weekly, thereby approaching (but not achieving) Bearish Pivot formation. My bias is Bearish but an untested DP well above PA will keep me out of the market until that circumstance changes unless I can find a good reason to trade the DP Test. Early News may change the “shape” of the market however so ruling nothing out.
The Day Ahead
The day begins in classic NLNS (No Long No Short) fashion. At least a Higher Low is needed to get me interested in the DP Test.
High Impact News
|9:00am||EUR||French Flash Manufacturing PM|
|9:30am||EUR||German Flash Manufacturing PM|
|USD||Philly Fed Manufacturing Index|
|5:00pm||EUR||German Buba President Weidmann Speaks|
Thoroughly thrilling Thursday all.