Pretty much a revise of my other EU sell, I was looking for a push higher before it cleared the double bottoms. I use the DXYto look for SMT divergence. EU and DXY move opposite of each other but leaves little clues that a potential move could be taking place soon. where my black arrows are we see that EU cosolidating while DXYis still expanding. Focusing on the EU chart we see that we are clearly making lower lows but inside the trend we have pull backs. EU is currently pulling back and it is pulling back to some key areas. The big figure 1.2200 is a natural resistance that could be reached taking out the short term highs in the way of getting to it. Since there is a few highs in that area it will need a strong move to push to that zone. The red line is where im lookiing to take my sell for the reason of highs in the way to the big figure. The only way I take the sell from that area is if EU makes the high of the day during London and in order fr me to hold I need to see a quick reaction from that area. If not I will wait to see If it goes to clear out the short term highs around 1.2200 and look for signs of a potential reversal of the market starting with a potential invert head and shoulders were the market cleared the double bottoms.
Comment:
Had a split screen but its only showing my dxy