This is just for me to keep a log of my Trade ideas...
Trade Idea:
We have all been waiting for some sort of retracement on this massive Dollar drop . But as long as the Fed is using Quantitative Easing to help stimulate the economy...there shouldn't be much of a major retracement at all. The more money they print the less value the dollar is worth. Now, There can be small pull backs, which is what I believe is happening now. The DXY bounced off support and just broke through resistance, So its either going to fall back through it and continue down, or it will retest the support and possibly bounce higher. I believe if it breaks through the 4hr support (red box), then it will retest the 1hr support (yellow box) before continue back up. The second one is what I'm leaning towards. Long term I am BULLISH on EU but since the Dollar is showing a little bit of strength I'm looking for a short entry near resistance/ 50% retracement level at 118.4. If EU is still showing strength I'll wait for an entry near 118.900-119.100.
Trade Idea:
We have all been waiting for some sort of retracement on this massive Dollar drop . But as long as the Fed is using Quantitative Easing to help stimulate the economy...there shouldn't be much of a major retracement at all. The more money they print the less value the dollar is worth. Now, There can be small pull backs, which is what I believe is happening now. The DXY bounced off support and just broke through resistance, So its either going to fall back through it and continue down, or it will retest the support and possibly bounce higher. I believe if it breaks through the 4hr support (red box), then it will retest the 1hr support (yellow box) before continue back up. The second one is what I'm leaning towards. Long term I am BULLISH on EU but since the Dollar is showing a little bit of strength I'm looking for a short entry near resistance/ 50% retracement level at 118.4. If EU is still showing strength I'll wait for an entry near 118.900-119.100.
Comment:
The dollar bounced exactly where i thought it would, and entered a EU Short at the 50% retracement level (entry 1.18368). I am moving SL to break even and will be watching how price reacts to the next support zone
Comment:
Also watching DXY to make sure it breaks up and retests for confirmation to hold short position. If it gets rejected I will close trade and wait for reentry.