The E/U went down after the news, but I am waiting to see if it develops to go back up. I believe the trend is up, and this is only a reaction to the news. What are your thoughts?
DislikedHi Guys, I took the break on USDJPY, too early, I should have waited for the 30 min bar to close below the UTL but I will hold unless that inside bar is breeched.Ignored
DislikedI bought the E/U at 1.56211 and exited at 1,56417. I was afraid of the E/U was still reacting to the move after the news, strong move down, and then a strong move up. I thought it would move back to the center and catch its breath. That is why I exited when I did.Ignored
DislikedGood morning guys, have a look at the 4H TF. It still didn't make the break. Besides, there is strong resistance at 103.73. I will wait for the candle to open below it.Ignored
I was looking back at the posts and just now noticed your question. I did look back to this day (your chart) and noticed that on my chart,the pivot point was right below the breaking point (LTL - demand).
I need to say that you have to pay very close attention to these support, resistance, pivots, fibos because they work as "magnets" for price. That's why I use them as targets. But once you are close to a break or you indeed have a break, have them as "magnets" or limiting lines! A good break happens, in most cases, when you have a large gap between the broken line and the next horizontal line. That's at least my honest opinion.
I noticed that Aediaz tried to warn about a support line right below the break. In that case, he was right. That was a very strong resistance line. On my chart, it was the pivot line.
Here is one of the best short explanations that I have found for S/Rs, pivots, fibos to have so much 'power':
"Support and resistance are levels where the market brings in enough latent volume in order to change the direction of the price. Latent volume is a new concept and I will define it like "placed but not executed orders"; so if you place an order to buy limit at 1.5510 EUR/USD it means that you are creating latent volume, also if you keep in mind that you will buy when the market reaches 1.5510 you create latent volume because the market is actually reduced to feelings (if you feel that you're gonna buy you are already influencing the market by creating latent volume).
With that being said, the question that you posted can be re-formulated like "where is latent volume created?". People tend to create latent volume:
1) where other people have already created latent volume;
2) where it is probable that other people will create latent volume;
The first category is composed of linear support/resistance, which means previous lows/highs which means a level where enough latent volume was created in the past so that the price action reversed at that moment.
The second category is composed of mobile support/resistance such as trendline support/resistance, Gann support/resistance lines, Bollinger Bands, Andrew's Pitchfork support/resistance channels, Fibonacci arcs, together with Fibonacci Retracements + Projections + Extensions. These levels - when touched - allow latent volume to enter the market.
All the above can be considered support/resistance levels. Please note that latent volume is created in both directions, at all the levels mentioned above; that is the reason for which support/resistance eventually fails."
Hope this helps everyone in this thread.
DislikedTarget 1 at S2 (0.9832) was just hit. Let's see if it keeps on going down.
Although this is not the threads subject, I thought it would interest you. It might keep going down. Oil prices just passed USD130.00 and Oil inventories in the US fell greatly. Having Canada as the second in "Oil Reserve" world rankings should make the Loonie gain against the dollar.
I just think that we all should have a closer look at this pair.
What do you guys think?
DislikedDid anyone catch this one today?
DislikedI agree the U/C looks down, and the G/U may move up, but we will see after news comes out.Ignored
DislikedI see the probability (increased) for more upside on cable based on daily TL which have been broken;Ignored
Please check my analysis of the G/U. I believe it will move up. The range of the of the TLs is 236 PIPs, so I believe it can have that kind of move if it breaks out on the upside. What do you think?Ignored