London as just opened and we have already set a another low at for today and as I type only 5 pips off the new 2 yearly low of yesterday.
Most traders can see from their charts that the EU is oversold and so therefore will need pullbacks or retraces during the day. Most of the present pullbacks during the last 10 days have been very small with the largest approx 70 pips.
We are near the large psychological important price of 1.2200 which might be looked upon as very important. You can imagine 10-30 pips below that price a lot of "stops" that could trigger another rally. The bulls will be doing their best to keep price above 1.2190 whereas the bears do want under that - as they know the effect it would have.
Will we get there today or on the infamous Friday 13th ?
I remember from yesterday key price areas of 2261 - 71 and 85 needed to show any moves being tried as buys.
I am not keen to scalp buy yet - but would over 2224 - 37 and 45.
Meanwhile i hope you have caught some pips on this 3 hr fall of over 30 pips so far.
Will the low go now or not?
What's next then ?
A bit too early on the buy there Elan - but that's just down to practice and experience - which will come to you over time.
As of now 2.20pm UK and 9.20am NY - we have a low at 2254 and then a HL at 2259. These will be key and if broken - then lower tests again. Meanwhile the market is checking out positions and setting up further false "teases"
2271 as not been taken yet and so until it is we are in a very tight range of 11 pips whilst we await the markets to open in 7 minutes
Scalp buys need over 72 and 82 - and then scalp sells as we have mentioned under 59 and 54 with 47 and 35 further supports.
US market open and price at 2251 - be careful next 7-10 minutes - as fade out or drop
I can imagine its very frustrating for normal traders - unless they are experienced scalpers - simply because the market is giving out so many false signals in tight ranges.
Main S & R's will differ with the short term intra day levels I look at. In this last tight range of between 2271 and 2250 - the market would have been able to get many traders the wrong direction - and even those in the correct direction might have been stopped out or came out believing their forecast was incorrect.
At 3pm UK time - the market held at 2251 and then became a scalp buy at next LH of 2256 and then once 71 went we knew 82-85 would be the next resistance zone to challenge. Above 68 now still in up mode and we need under 61 for short term bias back to down
LOL Pixta - I think the market needs some vodka with its Red Bull to give it more of a kick or boost. That young lady seems to have her own special skill ;-)
3.30pm UK - 10.30am NY - minor news out - Eu now as follows - 3 lower Highs at 2296 - 2293 and 2284. - 2 LL's of 2254 and 2251. So unless we go over 85 and 93 - the up move stalls. Similar unless we go back down under 67 and 51 - we stay in a range.
I have scalp sold from 82 but need to see 68 go otherwise i take profit and look to scalp buy
4pm UK - and have taken scalp sell profit of 29 pips at 2252. We have made another LL at 2247 and under 2264 - we could still try again. Nice wall graphics there Pixta ;-) Lisa as an artist would like them I am sure.
On hr to London Close
Yes certainly a "roller coaster" ride - not helped by all this HFT - as they just don't mind tight ranges to trade in.
With only 7 minutes to London Close - I had low at 2226 -scalp buys over 30 with targets of 46 -55.
I think we would need to see over 2256 to be thinking of another turn with the 2230 area holding on any pullbacks lower again.
Been trading GU and AU scalp sells as well this last hour - they have been great ;-)