Forex Signals – Falling Resistance
Recap: Our short was triggered at 1.2225 late yesterday (18:05 UTC) and has so far not done much. It quickly dropped 10 pips into the profit then slowly drifted back up to 20 pips in the red, and is currently hovering about 5 pips in the profit.
We will keep the short open for now as we are still very bearish on the pair, especially given recent “risk-off” type news events that are unfolding around the global economy. US political elections, Greek / Germany discontent with austerity measures, the effect austerity measures could actually have on economic recovery (there’s a bit of a catch-22), etc etc – just to name a few. Technically speaking, which is how we get our entries/exits, the pair is in a clear downtrend and has been making steady lower lows and lower highs for all of July.
Today’s Important News Events:
|01:30||AUD Employment Change (JUN)||0.0K||27.8K|
|01:30||AUD Unemployment Rate (JUN)||5.2%||5.1%|
|03:51||JPY Bank of Japan Rate Decision (JUL 12)||0.10%||0.10%|
|05:30||EUR French Consumer Price Index (YoY) (JUN)||1.9%||2.0%|
|08:00||EUR ECB Publishes July Monthly Report|
|*To see a more extensive list of news events (not just those we consider important), visit our Forex Calendar.|
Trading Idea: Our short is still open with targets at 20/20/20/20 for 80 pips. We will look to close and get long on a resistance break if one occurs with the same targets.
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