Hello Traders! Welcome back to another Top-Down Analysis of EurUsd. I've found that only trading 1 Pair/Instrument is a great way to reduce your risk exposure in the markets. There are a few reasons for this --- 1) I only have to pay attention to the news announcments for the -EUR & -USD 2) The currency pair has it's own nuances and characteristics that I may not understand If i were to trade many pairs.
3) It's session-session behavior is easier to follow since I'm only following 1 pair
With that said, Eur/Usd did decrease over the previous session as I anticipated and called out in the Analysis. This was for a few reasons.. Market sentiment has shifted to risk-off slightly due to increasing inflation and better than expected NFP jobs data (also boosts inflation). We also have interest rates in 2 days and there is uncertainty about that.. (even more of a reason to buy the safe haven dollar)
Next target for shorts is 1.08510.. In the meantime it is possible that we may pullback to 1.089 Daily resistance level that was created today for a last minute retest before more downside to come. I have a strong Bearsh bias leading up to interest rates here
0'0 intro and monthly timeframe
1:41 weekly timeframe
3:02 daily timeframe
517 4hr tiemfame
8:01 1hr timeframe
3) It's session-session behavior is easier to follow since I'm only following 1 pair
With that said, Eur/Usd did decrease over the previous session as I anticipated and called out in the Analysis. This was for a few reasons.. Market sentiment has shifted to risk-off slightly due to increasing inflation and better than expected NFP jobs data (also boosts inflation). We also have interest rates in 2 days and there is uncertainty about that.. (even more of a reason to buy the safe haven dollar)
Next target for shorts is 1.08510.. In the meantime it is possible that we may pullback to 1.089 Daily resistance level that was created today for a last minute retest before more downside to come. I have a strong Bearsh bias leading up to interest rates here
0'0 intro and monthly timeframe
1:41 weekly timeframe
3:02 daily timeframe
517 4hr tiemfame
8:01 1hr timeframe
Comment:
Another callout! Reasoons for Short's listed in the analysis and the description here!
Comment:
London Close is acting as a reversal for a possible continuation back to the downside. New york open helped facilitate a correction move after the big anticpated downside move from London session..
