Just pulled the 12M time frame chart on the USD / EUR
Intereteresting no?
Does this chart pattern and clean breakout ring any bell?
I'm sure it does but in case you don't have it in the tip of your mouth, allow me to help you out. This is a textbook descending triangle and the last candle you are witnessing, being formed this year, so far means a trendline breakout.
Of course we need to wait for the completion of the year before jumping into conclusions regarding this candle. Or are you feeling entrepreneurial and willing to use this info to enter a trade in the lower time frame?
In any case, leave you with the price path that feels the most natural to me, the one with the least resistance ahead, provided this candle closes indeed the year above the downward sloping yellow trendline.
This breakout would entail a break of this longer term downtrend of the dollar in face of the Euro.
What do you think we are about to witness?
Sidenote: how satisfying to register that technical analysis is so neatly fractal. The patterns you see in the daily time frame are the patterns you see in the yearly time frame.
Intereteresting no?
Does this chart pattern and clean breakout ring any bell?
I'm sure it does but in case you don't have it in the tip of your mouth, allow me to help you out. This is a textbook descending triangle and the last candle you are witnessing, being formed this year, so far means a trendline breakout.
Of course we need to wait for the completion of the year before jumping into conclusions regarding this candle. Or are you feeling entrepreneurial and willing to use this info to enter a trade in the lower time frame?
In any case, leave you with the price path that feels the most natural to me, the one with the least resistance ahead, provided this candle closes indeed the year above the downward sloping yellow trendline.
This breakout would entail a break of this longer term downtrend of the dollar in face of the Euro.
What do you think we are about to witness?
Sidenote: how satisfying to register that technical analysis is so neatly fractal. The patterns you see in the daily time frame are the patterns you see in the yearly time frame.
