It was reported in the last analysis that price will likely see a decline in value down towards the 4hr demand area at 1.06041-1.06312. No decline has really been seen as of yet, as price seems to be stalling around a minor S/R flip level seen at 1.06660.
We still firmly favour a retracement back to 4hr demand area below (levels above) as pro money requires liquidity to move prices higher. How do they do this? With orders and in this case sell orders. They need enough sell orders to cope with the huge amounts they trade to move the market. Do bear in mind this is just one scenario. Millions upon millions of traders saw this momentum and no doubt jumped on the train, if pro money start selling into these buy orders pushing price south, these traders will be forced to cover their positions, thus giving pro money the opportunity to enter buy orders into the market in small batches, but as just said above, this is only one scenario, pro money no doubt have many tricks up their sleeves!
Pending/P.A confirmation orders:
• Pending buy orders (Green line) are seen within demand (1.06041-1.06312) at 1.06229. Price will likely see a retracement into this demand area, and a reaction will likely follow, as we are currently in higher timeframe demand (Weekly demand: 1.05715-1.07008 Daily demand: 1.05874-1.06680).
• Pending buy orders (Green line) are seen just above demand (1.06041-1.06312) at 1.06462. Why did we place another buy pending order here? Take a look at current price action, notice a base has formed around the 1.06462 area, this could well be the place pro money drop price to before a bigger rally higher follows.
• No P.A confirmation buy orders (Red line) are seen in the current market environment.
• Pending sell orders (Green line) are seen just below a small supply area (1.07508-1.07434) at 1.07386. A pending sell order has been set here since a bounce from this area will likely be seen if/when price reaches here, as the momentum from this area was quite strong, indicating unfilled sell orders may still be set there.
• No P.A confirmation sell orders (Red line) are seen in the current market environment.
• Areas to watch for buy orders: P.O: 1.06229 SL: 1.05951 TP: Dependent on price approach) 1.06462 SL: 1.05951 TP: Dependent on price approach. P.A.C: There are no P.A confirmation buy orders seen within the current market environment.
• Areas to watch for sell orders: P.O:1.07386 (SL: 1.07541 TP: Dependent on price approach) P.A.C: There are no P.A confirmation sell orders seen within the current market environment.