Check out this chart. I am sure there are plenty of people going apeshit over the pinbar/shooting star that has been printed. Of course, there are plenty of newbies that have shorted this thing early because this is the trade that is going to make them rich.
The truth about this pinbar is this: I am skipping it. Why? Because although the 1.68-1.70 area is certain resistance, (look at the weekly) I can also plainly see that this market has been grinding away to the upside. (And the lows keep getting higher.) While I admit it is very likely that the market will drop, you can see by the red box as to where I think it won't break through. This pinbar represents a potential pullback to me. This represents an opportunity to buy at a cheaper price - the Pound will be on sale at that point.
Funny how your perception changes.
The truth about this pinbar is this: I am skipping it. Why? Because although the 1.68-1.70 area is certain resistance, (look at the weekly) I can also plainly see that this market has been grinding away to the upside. (And the lows keep getting higher.) While I admit it is very likely that the market will drop, you can see by the red box as to where I think it won't break through. This pinbar represents a potential pullback to me. This represents an opportunity to buy at a cheaper price - the Pound will be on sale at that point.
Funny how your perception changes.