After selling off pre-NFP last week price bounced and closed above the Kumo Cloud
again.White line mark the neck of an Inveresed Head & Shoulders pattern that may
be forming. The pattern will be triggered once the neckline is breached on a closing
basis.
Currently price is pulling back, gravitating to the daily and below weekly Pivot Points.
Chances are good that, if price will reach the Weekly PP at 1.0631, we will see a bounce
and continuation upwards toward the neckline at approximately 1.08.
However, we might also see a test and bounce off the upper Kumo Cloud/Daily PP at
1.0650-55 area. Buying a pullback is the best strategy currently in my opinion.
Only a daily close below the Weekly Pivot Point will put in question the bullish bias
at this point. The general backdrop is to see the USDOLLAR index pull back and test
its Monthly PP.
Previously I pointed out an ABCD pattern, but price has erased it after reaching the
61.8 FIB of the CD leg and then breaching the B point.
With FOMC on wednesday, PA might become muted up to that point.
again.White line mark the neck of an Inveresed Head & Shoulders pattern that may
be forming. The pattern will be triggered once the neckline is breached on a closing
basis.
Currently price is pulling back, gravitating to the daily and below weekly Pivot Points.
Chances are good that, if price will reach the Weekly PP at 1.0631, we will see a bounce
and continuation upwards toward the neckline at approximately 1.08.
However, we might also see a test and bounce off the upper Kumo Cloud/Daily PP at
1.0650-55 area. Buying a pullback is the best strategy currently in my opinion.
Only a daily close below the Weekly Pivot Point will put in question the bullish bias
at this point. The general backdrop is to see the USDOLLAR index pull back and test
its Monthly PP.
Previously I pointed out an ABCD pattern, but price has erased it after reaching the
61.8 FIB of the CD leg and then breaching the B point.
With FOMC on wednesday, PA might become muted up to that point.