Not considering a "long term" short until a decent pullback

FX:EURUSD   Euro / U.S. Dollar
871 6 17
This is just a chart for technicals, not considering any potential market moves from Greece, or the rest of the Euro             zone. There's been enough discussion on that subject, and the reality is that nobody knows for sure what will happen and the ripple effect it may have on the markets. So arguing about it is really quite pointless, unless you have an entire group of well paid analysts dedicated to that area of the Euro-zone.

What I've outlined is the previous areas of support the Euro             has found (outlined by the grey boxes & green lines). And how price has once again tested that area, and found some support which has made for this current consolidation. The probability is that price can start making new monthly highs retracing back to the previous support turned resistance now. Which is outlined by the .618 / .50 Fibonacci retracement . Only on a pullback to that area will I personally consider any "long term" short position on the euro             . This chart can serve as a reason for caution for individuals that want to short the euro             for the "long term". Remember the market is not a straight line down / up, and that it is susceptible to pullbacks before the long term trend continues its way.

Technical's I will be monitoring:
  • Support area 1.05
  • Pullback to Fibonacci resistance (previous support turned resistance)
  • A monthly close above the 9 Moving Average

Do remember, trading isn't a science (especially technical trading) and there is no guarantee any analysis is 100% going to be valid. My analysis can be completely invalidated in the future so just take this analysis and use it at your own discretion.

Cheers, happy trading guys / girls! =)
Very nice chart, and great to see someone to look at big picture.

Thank you
+1 Reply
Daniel.B TradingWisdoms
Thanks for the kind comment, appreciate it! =) And yea its always good to keep an eye on the big picture =)
wouldnt a pullback mean that the trend might be reversing and going up?
+1 Reply
Daniel.B RichardChung
Yes, it would mean that on a daily chart the trend can very well reverse for a couple weeks and retrace back to the resistance area labeled on the chart. =)
Hey Daniel, Nice outlook. Especially monthly outlook gives us the bigger picture, which is also very important to keep in mind. Waiting for Greece situation to settle down a bit. All the best for the next week of trading,.
+1 Reply
Daniel.B moneymaking
Thanks for the comment bro! Yea the monthly does give a very clear picture of what can potentially happen in the future. Same here keeping everything very conservative until the Greece situation settles down. All the best to you to bro! =)
+1 Reply
EN English
EN English (UK)
EN English (IN)
DE Deutsch
FR Français
ES Español
IT Italiano
PL Polski
SV Svenska
TR Türkçe
RU Русский
PT Português
ID Bahasa Indonesia
MS Bahasa Melayu
TH ภาษาไทย
VI Tiếng Việt
JA 日本語
KO 한국어
ZH 简体中文
ZH 繁體中文
AR العربية
Home Stock Screener Forex Signal Finder Cryptocurrency Signal Finder Economic Calendar How It Works Chart Features House Rules Moderators Website & Broker Solutions Widgets Stock Charting Library Feature Request Blog & News FAQ Help & Wiki Twitter
Profile Profile Settings Account and Billing My Support Tickets Contact Support Ideas Published Followers Following Private Messages Chat Sign Out