Cauting for EUR/USD shorters and why Trend-lines are the DEVIL
While everybody and their brother is now short the EUR/USD in the 1.135 area I decided to take my 10pips profit and RUN. I got short like many people near the 1.136 area based on my last idea. The reason is checked other trading ideas and EVERYBODY is watching of the the two trend-lines in red in the EUR. When many people look into something, it normally DOES NOT WORK and they get FLUSHED.
Does the action in the EUR/USD look like a top ? Isn't it a bit too flat ? Look at the previous 3-4 tops... Their are SPIKY. This does not look like the top. If you are short there is a big chance you will get flushed.
Now I know the DXY channel will make ZERO sense to most people but this is the short term channel in the DXY believe it or not the resistance is the final cutted line projected from the top. The DXY has to first move ABOVE it to become bullish again. Having said that there is a bit more upside for the DXY to 96.50-96.60 area so the EUR/USD can give a bit more rope for the shorters to hang themselves with a move to 1.131-1.133 or something like this.
Hope I am wrong and whoever is shorting here makes a killing but I am out.
Wish you all the best.
Does the action in the EUR/USD look like a top ? Isn't it a bit too flat ? Look at the previous 3-4 tops... Their are SPIKY. This does not look like the top. If you are short there is a big chance you will get flushed.
Now I know the DXY channel will make ZERO sense to most people but this is the short term channel in the DXY believe it or not the resistance is the final cutted line projected from the top. The DXY has to first move ABOVE it to become bullish again. Having said that there is a bit more upside for the DXY to 96.50-96.60 area so the EUR/USD can give a bit more rope for the shorters to hang themselves with a move to 1.131-1.133 or something like this.
Hope I am wrong and whoever is shorting here makes a killing but I am out.
Wish you all the best.
Comment:
Cauting = caution xD
Trade closed: target reached:
Those trendlines just go absolutely destroyed. Trend-lines and a trader who believes in them form a really toxic relationship while the DXY channel worked perfectly.