Nice bounce in the Euro and pullback in the US Dollar.
Remember the market is directly correlated with the Euro,
where the Euro goes, so will the market, and inverse to the US
Dollar.
The EURO has rallied to the top of the
downtrend lineof a bull wedge pattern.
However this is
resistance and a breakpoint to watch. If the Euro
pulls back from this trendline, then so will the market.
However if the Euro breaks out of this wedge to the upside,
then the market will continue higher. A rally in the Euro would
provide fuel to a continued oversold market rally. On the
chart, I added a couple scenarios via trendlines. I could see
either a breakout from here, or a slight pullback within the wedge,
then a breakout after that, we'll see...
But this trendline is a breakpoint
Also looks like a reverse h&s has formed on the 60 minute
chart with a neck line around the 1.3410 level which is also around
the breakout of the wedge level - very bullish imo if it can
breakout through here
here's an updated EURO chart, as you can see it bounced back to
the downtrend line, at the same time ES futures moved up.
Again the 2 move lock step with one another
right now the Euro is at resistance, so this may be another
place to turn down again
The overnight action in the euro were crazy. Looks like it
might have peaked above that bullish rising wedge, but got
rejected. Bigger picture, doesn't it look like a year long,
well-developed, inverted cup and handle formation?
futures now pulling back again, man these overnight sessions can
provide some nice trades, many times a lot smoother and easier than
the daily session for trading ES futures
again getting late, gotta go to bed, otherwise I'll be hurting
tomorrow
EURO 120 min chart - testing the downtrend line of the wedge
Posted by matt on 28th of Nov 2011 at 10:05 am
Nice bounce in the Euro and pullback in the US Dollar. Remember the market is directly correlated with the Euro, where the Euro goes, so will the market, and inverse to the US Dollar.
The EURO has rallied to the top of the downtrend lineof a bull wedge pattern. However this is resistance and a breakpoint to watch. If the Euro pulls back from this trendline, then so will the market. However if the Euro breaks out of this wedge to the upside, then the market will continue higher. A rally in the Euro would provide fuel to a continued oversold market rally. On the chart, I added a couple scenarios via trendlines. I could see either a breakout from here, or a slight pullback within the wedge, then a breakout after that, we'll see... But this trendline is a breakpoint
Also looks like a reverse
Posted by payday on 29th of Nov 2011 at 01:27 am
Also looks like a reverse h&s has formed on the 60 minute chart with a neck line around the 1.3410 level which is also around the breakout of the wedge level - very bullish imo if it can breakout through here
here's a larger view of
Posted by matt on 28th of Nov 2011 at 10:22 am
here's a larger view of the Euro
here's an updated EURO chart,
Posted by matt on 29th of Nov 2011 at 02:01 am
here's an updated EURO chart, as you can see it bounced back to the downtrend line, at the same time ES futures moved up. Again the 2 move lock step with one another
right now the Euro is at resistance, so this may be another place to turn down again
and of course a Euro
Posted by matt on 30th of Nov 2011 at 04:25 pm
and of course a Euro update, broke out of the bull wedge
Euro and ES have diverged.
Posted by oops1e on 30th of Nov 2011 at 04:42 pm
Euro and ES have diverged. Euro flagging down, while ES trending up.
Unreal moves on the Euro....
Posted by kalinm on 29th of Nov 2011 at 07:36 am
The overnight action in the euro were crazy. Looks like it might have peaked above that bullish rising wedge, but got rejected. Bigger picture, doesn't it look like a year long, well-developed, inverted cup and handle formation?
futures now pulling back again,
Posted by matt on 29th of Nov 2011 at 03:07 am
futures now pulling back again, man these overnight sessions can provide some nice trades, many times a lot smoother and easier than the daily session for trading ES futures
again getting late, gotta go to bed, otherwise I'll be hurting tomorrow
Yeah, I am a bit
Posted by steveo on 29th of Nov 2011 at 03:44 am
Yeah, I am a bit hooked on them. The brits really push cable around alot, and that seems to somewhat affect the Euro movement too.