Here below please find attached the video-analysis of the Euro FX currency futures for today May 3rd:
The 1.3230 area was very important and I have been watching it carefully. We had strong participation on the downside that negates the bullish scenario I have been following so far.
Indeed, today the market has confirmed the shorts by holding the 3140 area of resistance (stop-loss above 1.3170 was never pierced). This setup has 1st target at 1.3000 and second target around the 1.2910 area of support.
Below 1.2714 the bullish scenario, already in trouble, can be cancelled altogether. If Scenario 1 plays out the target will be at the 1.2520 area.
The above picture shows the two current scenarios:
Scenario 1. I do not anticipate the 1.2980 level to hold because it is a second test. So we could see price slice through that level and move right into the 1.2910 area where we could get a small bounce. If the shorts are real there would be a continuaton after price tests the 1.2980 area from below.
Scenario 2. If the 1.2910 area holds we could still see a resumed move higher. This scenario, however, seems a low probability scenario at the moment.
If you want to have access to trading plans, watch weekly video reviews as I develop or record them, or get information on setups (before they happen) for the Euro-Dollar cross, the S&P500 index and some high volume stocks, please subscribe my newsletter. It’s free and you get additional content like market commentaries, setups, e-books, articles on HFT and program trading, learning material on my method and video-analysis that I don’t make available on my blog.
Thank you for subscribing should you decide to do so. Lots of other people are doing the same.
If you intend using this information for your trading please do your own due diligence, find the advice of a trading professional and trade at your own responsibility. The information provided is for educational purpose only. Please read the Disclaimer and accept all the risks. Thank you.
Have a good day