Last Friday’s (4/7/2017) non-farm payrolls (March) were anticipated to be much lower than February, and due to this foreknowledge the bears did not hesitate to re-open their short positions. This was confirmed by two extremely bearish candles that closed on the 4H chart at 5AM and 9AM Friday morning. We witnessed a very immediate and quite dramatic continuation of the previous downtrend that has been going strong since the start of the US session on March 28th.
The consolidation leading up to Friday’s news release may have been our first indication that bearish momentum was slowing down click the link for my analysis on the NFP consolidation(
Trade closed: target reached
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Price was choppy there for a bit, but in the end the wedge was formed as predicted. I do not believe the short term up trend is over just yet, so if you are watching EURUSD look for a second reversal signal - this would be a BULLISH move/reversal candle that fails to break the 1.066 area.