please find attached hereunder my video-review for today:
the first target level for the short trade initiated at 1.3080 resistance area has been reached yesterday at 1.2990. That area did not offer participation from professional traders and program trading, as we were expecting, and yesterday price went down to a low at 1.2957. This morning (EU session open) after a brief reaction higher price continued on the downside and violated the important threshold level at 1.2953.
Below that level the Euro confirmed the target of the current swing at 1.2830. In this area I will remove my short position and we will need to verify whether the next leg higher will start from that point or whether the Euro will be able to move lower into 1.2620-30 (I start doubting that).
Today is FOMC day and the FED meeting always brings in volatility. However the outcome of the meeting is, somehow, already included in price behavior. Should we get volatility on the upside, this should not create problems and, in the end, the move should resolve itself in the direction of the current trend, which is downwards. Indeed, against common beliefs, news always complete the tecnical setup and pattern in place.
This morning I have added to my short position at 1.2975 and later on I will publish a separate post in which I will provide the details, as usual.
I want to remind you that I write a free newsletter that I publish on Sundays typically including a weekly review for the Euro-Dollar cross and other forex pairs, indices or commodities futures, articles on my trading method, market commentaries and HFT/Program Trading which I exploit in my trading. I don’t usually share publicly this material on the Blog. Please, register here to receive the free weekly newsletter. Thank you.
If you like this website, please recommend it to your friends. If you want it to be better, please, leave me a feedback (comment below). Thank you.
Have a great trading day!