I'm short two positions in this pair from .8340 and .8258. I just took partial profits on the .8340 one at +170 pips.
The pair just broke below its recent low of .8181 so a bounce might be in order. On the three-hour chart there is slight positive divergence. On the weekly chart it's at the bottom of a channel. If it does bounce, initial resistance is at .8275/85 where one could try a short. If it breaks the weekly channel then .7900 is possible.
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.