For those who are bears on the EUR/USD pair, at what level do you think it'll meet resistance? Right now it's storming ahead higher and higher.
I would say the psychological level at 1.30 is the big bump in the road now. I would be interested in seeing what this higher Euro will do to the EZ down the road.
USD Bullish is most likely a good stance here. However, wide stop would be needed as Euro bulls will not be giving up quickly. I believe there is strong potential for a reversal down perhaps starting as early as today.
I would not necessarily say that the Euro is storming ahead. That would be the definition of the trade earlier this Spring. At the present time, the Euro is attempting to make a run at the May highs. We'll see if it can get past that or not.
Buy/Sell - Again, what do you base this on? I'm looking for a reasoning beyond "I think" or "I feel like it".
usdbull.i am very confused by the lines you have drawn on the last chart you posted.from what i can see from youre chart.the downtrend line should have been drawn from the high of feb 05 connecting to the high of aug 05.the line extended.then a new uptrend line drawn when this downtrend line was breached.imo,these should have been the only significant lines on that chart
The Euro on the daily chart has taken 17 calendar days to achieve the top that was created on Aug 4. That is not storming ahead. Beyond that, the weekly chart shows a developing divergence potential on price and indicators. To achieve a divergence, we would need to take out the May Highs and then reverse. Of course, we don't have to take out the highs or have a divergence to reverse lower and the weekly chart is showing the signs of weakness. While the daily chart does not outright say lower yet, the weekly is brewing this weakness. Intraday shorts should be looked at seriously from this point on if you are an intraday trader. and long termers like myself (I am not short yet), should watch the weekly and daily for a reversal.
As far as whether it would begin today or not-- look at the 5 minute chart. It has downside reversal potential right here. I prefer to see it confirmed on hourly of course.