Happy Valentine’s Day Surfers, I hope your passion towards the market produces some pips today.
Well the magnetic force that the gap provided yesterday drew price action 140pips south, without giving us an entry. They closed the gap very late in NY session – 8 black candles into an 11hr procession on H1 chart. Price action has found support just above……………..you guessed it – our Daily Critical Zone & DS-2, some 100pips from the untested DP. This of course means we won’t be looking for a short anytime soon. So can we go long?? Yes we can – BUT we must wait until price reaches our hotspots as always and then look for AAA StP setups.
My sentiment is still with the bulls but I must say it’s with far less conviction than this time yesterday. How wonderful that we don’t jump into the market based on our sentiment but rather rely on our strategy to protect us by forcing us to wait until potential movements become highly probable ones.
The higher time frames are harbouring potential head & shoulders so the expected pullback north, might just be the formation of a right shoulder if they don’t want to break our 1.3285 Daily Critical Zone – will keep our eye on that.
We need to await the “runout tide” to give us pullback surfers, then maybe some waves to ride.
Have a happy day.
Geoff | Certified SurfingThePips.com Trader