2-8-10
5:55a GMT – A solid week of pips last week as we continued to sell the EURUSD every day of the week into a strong downtrend. In all the pair dropped a couple hundred pips and over 500 pips on the weeks high/low. That makes it nearly 1000 pips the pair has dropped in the past 4 weeks! A quick glance at the weekly chart will show you how strong this downtrend is.
Daily Outlook: Technically nothing jumps out at me signaling that the downtrend is weakening – we have a solid downtrend resistance capping last week’s action and a long series of lower lows and lower highs. All of these are signs of a strong downtrend. Some traders might feel hesitant looking at various indicators showing oversold but remember that oscillators are not useful in a strong trending environment like we have now. In light of this strong trend I will continue to sell into rallies, looking at fibonacci retracments at 1.3680 and 1.3750 initially.
Trading Idea: Looking to sell near resistance levels (1.3680 and 1.3750). Targets from 1.3750 are 1.3720, 1.3680, 1.3645 and 1.3600.
As a reminder to everyone forex is a risky business – never risk more than you can afford to lose.
(click to enlarge)
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Any one awake??
Just made short @ eurusd 1.704 , small target 1.3650
Hi Mark!
Are you making todays signals at the moment. and do you also think that 1.372 is the key resistance.
Hello Tommy,
Good morning. Whats your take on today. Bulls have started the same way as yesterday. Typical consildating fashion. I am going to short at resistances with tight stops. What about you?
Hi George
I am shorting also mainly on near the key resistance level 1.372 trying to set my short as near as possible. scalping few pips before little by little setting my position higher. It might take a while to turn down…
SL just above the resistance
hi Tommy,
Good morning,I think it is good to short @ 1.3750 resistance zone and we can go long @ 1.3650 level because this level is maintaining so hope it is support zone
what is your idea?
I think 1.372 is stronger and next resistance 1.377
So why are you up so early or late? Where are you?
I got waken up by alarm, I put it on 1.37. Its 7.37 am here in rainy Spain! Costa del aqua…
Please don’t post direct commercials , ads ! I think nobody likes them on this site
Sorry, I am not working for them. I thought someone might like it (Not the add). That’s all.
Thank you Priya, I think this stuff is very important as well, I signed up for the free videos, this stuff is priceless, The mental side of trading is more important to me than reading charts, reading charts is the easy part to learn but the emotional side is the hardest, any help I can get on that is in my best interest… just my thought though…:)
Thanks Matthew. I like to learn more, I don’t mind from where and who it is. I am sure there are few like me.