So far this morning the pair has hit a low of 1.3365. Breaking below the psychological 1.34 is not great news to, well, I was going to say to Euro bulls, but are there any left? Although that reminds me that once everyone has sold who can sell, who is left to sell? Regardless, there's still lots of negative sentiment left and sellers will probably be found at least until down to 1.30. A close below 1.34 today would be damaging. Don't expect a straight down fall—rallies, even if small, will present themselves. There's some positive divergence shaping up on the shorter-term charts. Continue to sell those rallies for now. As I wrote yesterday, price targets from various calculations are coming in at the 1.27 to 1.30 price levels.
Support is at 1.3360, 1.3300, 1.3263, 1.3209, 1.3200, 1.3127, 1.3092, 1.3000, and 1.2885. Resistance is at 1.3406, 1.3435/50, 1.3561, 1.3486, 1.3561 1.3590, 1.3661, 1.3724 and 1.3818.
Here’s the three-hour chart:
© Dianne Fecteau, 2010. No part of this material may be reproduced in any form, or referred to in any other publication, without the express written permission of the author.
My purpose in writing this blog is to show you how one trader, me, makes trading decisions and survives while trading Forex. One of the biggest problems I had when I first started trading was trying to apply the “rules” to actual trades. Another was the psychology—limiting losses and letting profits run. If you study my blog, you’ll see how I deal with both those issues. So my writings are not trade recommendations but rather educational in purpose. You have to decide on your own approach to trading. Remember that trading is risky.
No comments:
Post a Comment