20JUL2017 10:10
EURUSD Buy Pending Order 1.1637
Target: 1.1750
s/l 1.1605 Move stop 1.1543 (via Daily for Swing)
Trade Active *checked at 10:28/1.1643
Most likely: Bear Flag Pattern
Resistance zone at 1.1750
Why: Dollar down
EURUSD Buy Pending Order 1.1637
Target: 1.1750
s/l 1.1605 Move stop 1.1543 (via Daily for Swing)
Trade Active *checked at 10:28/1.1643
Most likely: Bear Flag Pattern
Resistance zone at 1.1750
Why: Dollar down
Trade closed manually:
The ECB didn't remove the sentence about increasing QE if the economy falters and Draghi's speech was a touch on the dovish side. However, he characterized the economy as strengthening and completely ignored a question on the currency strength, which invites more. The big takeaway from the price action is that the market is not overly long EUR. In fact, it feels like there is a lot of FOMO (fear of missing out) going on. It has taken years to build up a short euro position amongst all parts of the client base. This position is structural. So the unwind is going to take a while and be quite painful.