EUR/USD: Technical outlook and review.
4hr TF.
The higher-timeframe picture resembles the following:
Weekly TF: The break seen below the weekly demand area at 1.31037-1.32262 likely signals a continuation move down to the weekly demand area at 1.26591-1.28010.
Daily TF: A solid daily close has been seen below the daily demand area 1.31037-1.31755, this could very likely force price to test the daily demand area at 1.27541-1.28676 (located around the weekly demand area at 1.26591-1.28010).
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The Euro dropped like a rock yesterday due to negative news announcements. We saw price slam through not only the round number 1.31 level, but also the 1.30 level as well!
With that being said, we are, at the time of writing trading thirty pips or so away from reaching the next area of interest which so happens to be a combination of the round-number level 1.29, and a 4hr S/D flip area at 1.28970-1.28590 (P.A confirmation buy level set just above at 1.29056), but with the mighty NFP announcement due out later today, we’re taking no chances here, and placing only P.A confirmation levels! If, once again negative numbers are seen, a break below the aforementioned areas could well be seen forcing prices all the way down to a beautiful- looking 4hr demand area at 1.27541-1.27904.
Upon breaking the huge-figure number 1.3 (a P.A confirmation sell level has been set just below at 1.29950) there were likely unfilled sell orders left there by pro money indicating a rally could be seen up to this level to fill these orders (dependent on news of course) sometime today.
Pending orders/P.A confirmation levels:
• The pending buy order (Green line) set just above 4hr demand (1.31037-1.31278) at 1.31333 has been stopped out.
• New P.A confirmation buy levels (Red line) are seen just above the round number 1.29/4hr S/D flip area (1.29/1.28970-1.28590) at 1.29056. Confirmation is required here since there is no logical level to place a stop-loss order that is close enough to allow good risk to reward.
• No pending sell orders (Green line) are seen in the current market environment.
• New P.A confirmation sell levels (Red line) are seen just below the round number 1.30 at 1.29950. We have placed a P.A confirmation sell level here simply because these round-number levels are prone to deep tests (spikes) that regularly stop traders out, so confirmation is essential here for us.
• Areas to watch for buy orders: P.O: No pending buy orders are seen in the current market environment. P.A.C: 1.29056 (SL: Dependent on price action after the level has been confirmed TP: Dependent on approaching price action after the level has been confirmed).
• Areas to watch for sell orders: P.O: No pending sell orders are seen in the current market environment. P.A.C: 1.29950 (SL: Dependent on price action after the level has been confirmed TP: Dependent on approaching price action after the level has been confirmed).
The higher-timeframe picture resembles the following:
Weekly TF: The break seen below the weekly demand area at 1.31037-1.32262 likely signals a continuation move down to the weekly demand area at 1.26591-1.28010.
Daily TF: A solid daily close has been seen below the daily demand area 1.31037-1.31755, this could very likely force price to test the daily demand area at 1.27541-1.28676 (located around the weekly demand area at 1.26591-1.28010).
________________________________________
The Euro dropped like a rock yesterday due to negative news announcements. We saw price slam through not only the round number 1.31 level, but also the 1.30 level as well!
With that being said, we are, at the time of writing trading thirty pips or so away from reaching the next area of interest which so happens to be a combination of the round-number level 1.29, and a 4hr S/D flip area at 1.28970-1.28590 (P.A confirmation buy level set just above at 1.29056), but with the mighty NFP announcement due out later today, we’re taking no chances here, and placing only P.A confirmation levels! If, once again negative numbers are seen, a break below the aforementioned areas could well be seen forcing prices all the way down to a beautiful- looking 4hr demand area at 1.27541-1.27904.
Upon breaking the huge-figure number 1.3 (a P.A confirmation sell level has been set just below at 1.29950) there were likely unfilled sell orders left there by pro money indicating a rally could be seen up to this level to fill these orders (dependent on news of course) sometime today.
Pending orders/P.A confirmation levels:
• The pending buy order (Green line) set just above 4hr demand (1.31037-1.31278) at 1.31333 has been stopped out.
• New P.A confirmation buy levels (Red line) are seen just above the round number 1.29/4hr S/D flip area (1.29/1.28970-1.28590) at 1.29056. Confirmation is required here since there is no logical level to place a stop-loss order that is close enough to allow good risk to reward.
• No pending sell orders (Green line) are seen in the current market environment.
• New P.A confirmation sell levels (Red line) are seen just below the round number 1.30 at 1.29950. We have placed a P.A confirmation sell level here simply because these round-number levels are prone to deep tests (spikes) that regularly stop traders out, so confirmation is essential here for us.
• Areas to watch for buy orders: P.O: No pending buy orders are seen in the current market environment. P.A.C: 1.29056 (SL: Dependent on price action after the level has been confirmed TP: Dependent on approaching price action after the level has been confirmed).
• Areas to watch for sell orders: P.O: No pending sell orders are seen in the current market environment. P.A.C: 1.29950 (SL: Dependent on price action after the level has been confirmed TP: Dependent on approaching price action after the level has been confirmed).
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