Limit long triggered overnight at 135.05 and added to long down here at 134.67 CCI on our 240 chart still holding up. This looks like a flush out to chase out weak longs.
interesting. here's what i see on H4: possible H&S formation underway with right shoulder about to complete later? also as pointed out on the chart, the thick blue line from daily has not been breached to the upside yet, and as long as we remain under, down she goes IMHO. we'll see. here's the chart: cl.ly/image/342H1Z101F3g, although i must say that very short term play long yesterday from where H4 turned up for a 150 pip run was nothing short of a ballsy call. i am very surprised that all this can be done with only the CCI, which i had dismissed years ago for being too noisy.
but now this is getting really interesting as you still stick to your long call. based on the picture i see, i would never add more longs, rather i would close out all longs and wait and see whether we'll get a genuine H&S formation and re-assess then. i get the feeling this is going to turn into an epic trade as either EJ will plunge down, or just shoot up beyond 136 all the way to 137. my studies on H4 certainly haven't turned bearish yet, so for now if we ignore candle patterns, the direction would still be up. i can't wait to see how this will resolve.
cheers and thanks for giving me food for thought. :D
EURObull
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Nice chart Iso, and yes that's pretty funny the ballsy call worked out pretty well.
The H&S is very visable, especially on your chart. I have been bullish since the middle of this March. The CCI is my main driver of direction, and yes, there are a few other charts here and there built over the last 3 years that are quite helpful ; )
Thanks for the great feedback and awesome respect. It's great to be with a group of traders who love what we do.
EURObull
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Also keep a watch for the potential "broken" H&S, where EUR/JPY may pop over the 135.20 area, come down to rest on top of the right shoulder (135.10 area), then take off long.
isomorph
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mmhhhh.... i don't see it. are you referring to a time frame less than H4?
EURObull
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The move has not happened yet. I wanted to mention that if we observe EUR/JPY continue up (yellow arrows) above 135.20 area, at that point can come down to retest right shoulder top around the 135.10 area.
This is visable on our 240 chart, and on our 60 minute chart (condensed).
Hope this helps.
isomorph
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ah sorry, i get it now. just saw your last published idea. you mean to watch out for a potential invalidation of the currently forming H&S. ok, let's see if we will get such an invalidation during the Tokyo session. but honestly, i believe it will depend a lot on what the EURUSD will do during London. if the euro decides to take a nose dive, so will EJ follow.
we only have German GDP at 2 am EST and that's about it in terms of news moving headlines for the euro (not counting the Greek tragedy, of course). and if, as many market watchers are correct re further USD strength, that will drag the euro back down and if no convincing statement from BOJ re further monetary easing, then JPY might strengthen as well, except against USD. but we'll see. ;)
but now this is getting really interesting as you still stick to your long call. based on the picture i see, i would never add more longs, rather i would close out all longs and wait and see whether we'll get a genuine H&S formation and re-assess then. i get the feeling this is going to turn into an epic trade as either EJ will plunge down, or just shoot up beyond 136 all the way to 137. my studies on H4 certainly haven't turned bearish yet, so for now if we ignore candle patterns, the direction would still be up. i can't wait to see how this will resolve.
cheers and thanks for giving me food for thought. :D