Good evening from California:
So the EUR/USD falls 350 pips within 48 hours of a supposed rate increase. The EUR/JPY tops out at 145.54 two days ago, forming a double top with the April 19 / 20 top. What seems strange, is at the open on Tuesday, they came out of the gate firing sell orders...never went higher than the open. Fell all the way down to 144.73, where it found support with the 5 period daily SMA. Rebounds off of that and is now basing in the 145.20 - 145.29 range.
So the question begs.....with a rate increase lurking within 12 hours....why no new daily high yesterday......a range bound candle within the body of Monday's candle....and now can't break above 145.30.
I have three fib clusters using various highs and lows from the last 48 hours. All have resistance lines at 145.27 - 145.28.
Looking back at the charts from April, there was a 400 pip sell off over 3.5 days.....not sure what caused the downdraft. Just seems peculiar price / action with what is happeneing later tonight.
I'll go out on a limb, and suggest we go down from here at least 200 pips. The only variable will be if there is a temporary rally at the release of the news.
Ah, but that is what stops are for
. Anyone else see this pair the same...or opposing views are welcome, so I can see what my internal filters will not let me see on my own.
chart
So the EUR/USD falls 350 pips within 48 hours of a supposed rate increase. The EUR/JPY tops out at 145.54 two days ago, forming a double top with the April 19 / 20 top. What seems strange, is at the open on Tuesday, they came out of the gate firing sell orders...never went higher than the open. Fell all the way down to 144.73, where it found support with the 5 period daily SMA. Rebounds off of that and is now basing in the 145.20 - 145.29 range.
So the question begs.....with a rate increase lurking within 12 hours....why no new daily high yesterday......a range bound candle within the body of Monday's candle....and now can't break above 145.30.
I have three fib clusters using various highs and lows from the last 48 hours. All have resistance lines at 145.27 - 145.28.
Looking back at the charts from April, there was a 400 pip sell off over 3.5 days.....not sure what caused the downdraft. Just seems peculiar price / action with what is happeneing later tonight.
I'll go out on a limb, and suggest we go down from here at least 200 pips. The only variable will be if there is a temporary rally at the release of the news.
Ah, but that is what stops are for
. Anyone else see this pair the same...or opposing views are welcome, so I can see what my internal filters will not let me see on my own.chart