A largely news driven week ahead of us. Take care around news...don't guess!
On the daily, we have made a lower swing low in price relative to the most recent swing up in price, and have now retraced to 50% of that move (seen below). Into this 50% level, there is also some bearish divergence according to 1-hour MACD. To me, my bias is now bearish against 4700.
Currently, we just traded down into the 4600/4580 support zone, where I expect price to stall. However, given that its Sunday, it could easily be surpassed. Also, this area contains a 50% level from 440-4470.
My preference for a trade tonight is to play the MACD 1-hour bearish divergence and look to short in the white area I have indicated. This represents prior resistance/support and also can be a 50% retracement from current levels (if they hold).
It's clear that the 1-hour and 4-hour are a bit bullish, but I see that weakening based on the price action.
So...
Looking to short against 4700
Targets 4600,4540,4490,4450 (will be based on reaction to the level)
Stop-loss will be tight, no more than 20 pips so a strict entry will be sought after.
If we get close to, or near, my proposed level to short, I'll post a chart on a possible entry and exit strategy.
Again, my bias is bearish and will be adjusted according to price!
On the daily, we have made a lower swing low in price relative to the most recent swing up in price, and have now retraced to 50% of that move (seen below). Into this 50% level, there is also some bearish divergence according to 1-hour MACD. To me, my bias is now bearish against 4700.
Currently, we just traded down into the 4600/4580 support zone, where I expect price to stall. However, given that its Sunday, it could easily be surpassed. Also, this area contains a 50% level from 440-4470.
My preference for a trade tonight is to play the MACD 1-hour bearish divergence and look to short in the white area I have indicated. This represents prior resistance/support and also can be a 50% retracement from current levels (if they hold).
It's clear that the 1-hour and 4-hour are a bit bullish, but I see that weakening based on the price action.
So...
Looking to short against 4700
Targets 4600,4540,4490,4450 (will be based on reaction to the level)
Stop-loss will be tight, no more than 20 pips so a strict entry will be sought after.
If we get close to, or near, my proposed level to short, I'll post a chart on a possible entry and exit strategy.
Again, my bias is bearish and will be adjusted according to price!
Attached Image (click to enlarge)
i am holding my longs
...good pips today
