The recent Bearish Trend looked set to continue yesterday on the back of News from the States. Just as it looked likely to crash, EUR/USD rebounded to recover most of the lost ground. Again, our strategy spotted a Long setup but the DP test never came so flat we remained. Our GBP/JPY S&R trade from Tuesday is performing quite well however with TP1 banked and Stops sitting at entry.
PA has planted itself squarely on DP and looks as comfortable as a Lord as we begin NFP Eve. Indeed an interesting double test of DP has a slightly Bullish look about it. Add the News induced Triple Bottom from yesterday and things start to get interesting. Today is the final day of a (so far) 330 pip Monthly fall for EUR/USD – the biggest correction since January 2013. With NFP tomorrow, I’m expecting very little to change.
The Day Ahead
|11:00am||EUR||CPI Flash Estimate y/y|
|2:30pm USD||Unemployment Claims|
Thrilling Thursday everyone.