G’day Surfers, been here – done this!
Just as our Pivots suggested, EUR/USD failed to find a sustainable direction yesterday displaying Bearish intent through early London session, plummeting 75 pips quickly, before clawing it’s way out of the hole to close 20 pips shy of the day’s high. We were waiting at ground level, for Price Action to accelerate towards Daily Pivot but it failed so to do, leaving our 2nd order of the day similarly feted to it’s predecessor – triggerless. We remained flat thereafter.
With a nett movement of only 20 pips yesterday, it’s not surprising that very little has changed technically and Price Action remains aimless, in no man’s land. That Daily has snuck 50 odd pips away from Weekly, does afford Price Action a little more latitude today as the combined magnetic force weakens. The Pivots are giving us absolutely no hint of direction however, unable to mask the current sporadic wanderings of EUR/USD. . I find a small hint in my intraday charts: The inability of Price Action to sustain the break below yesterday’s Support Trendline. Despite it’s persistence, three false breakouts were the result and Price Action sits above that area still. .
The Day Ahead
I’m encouraged by the run of false breakouts to the South and have a slight Bullish preference on their backs. Hotspots are a little elusive today but there’s potential for Price Action to create them, building on existing foundations. It will be tough for me to trade if this does not transpire, given the multi violations of yesterday’s Support Trendline which renders it impotent. . Ruling nothing out at this stage.
High Impact News
|2:30pm||USD||Core Durable Goods Orders m/m|
Have a tip top Thursday
Davide Franceschini | Chief Trader and Founder at SurfingThePips.com
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