DislikedWho can help everyone by explaining what's going on with EUR/USD today? Quite a strange phenomenon if my analysis is right. I call it a 4-4 trade because the 3-3 trade, the trade that is supposed to be fundamental to SM teaching didn't work out well. There are 4 levels of rise, with 4 intraday pushes/vector candles visible on 15M chart. Either that, or SM didn't see this coming himself.... Still not getting this whole thing right =( * And what the heck is going on with all the JPY pairs? I keep seeing failed attempts to make a PFH on all those pairs....Ignored
3 levels, mid week reversal, stop hunts, vector moves, etc., are only guidelines. We use it as tools to read what the market is doing.
Try to follow the trend on the 1hr chart and use the guidelines(MnW's, 3 levels, weekly range completion, i.e, 3xADR, etc.) to identify possible reversals. Then, trade against the trend, until it reverses again.
About news, what SM says is we do not need to trade the news itself. But he always says that the MM's use news and other sentiment factors, to complete the patterns.
With the JPY, the problem is that it is being driven by very strong fundamental factors, i.e, the BoJ is intervening, saying that it will do everything to help Japanese economy, etc. It is a fundamental move. Central banks don't need the best price to act, they just buy or sell.
That's it.