GJ: MM's stopping the drop in anticipation for 'something' yet to come..?
Recent PA suggests this is looking good for a good knock down at some time in the near future. What we have here is a pre-LO short classic set-up. It is suggested to always wait until LS to take a trade as this is when there is most liquidity and movements in the market, not to mention that often times London MM's like to move prices up for themselves to get better prices for shorting and vice versa. Following the classic set-up we have a nice example of the MM's 'Stopping the drop' to prevent price from drifting to low and allowing for them to continue retracing price up to provide themselves with further shorting opportunities. This may and I stress may be in anticipation of tonights high impact news happening with GBP. Only time will tell as we cannot know how price will move next, but I repeat, this pair may be worth watching for a good move down as Classic and Scout opportunities continue to arise
Edit: I would also like to add in the bigger scheme/picture of things this looks promising. We now know that the MM's have begun their "Run for profits" phase as seen by the first large sell-off. We can now see that price is undergoing a reaccumulation of shorts by keeping it in a range and suckering in longs to go against. This is most notable when seeing what I believe to be a false breakout of the range in a Pump & Dump fashion. I find it interesting that there is greater selling volume after the pump on this move as highlighted. We have to accept however despite all this we cannot know the timing of this, the MM's will move this down on their watch when they see fit, that being said though it does not hurt to be ready and waiting.
Recent PA suggests this is looking good for a good knock down at some time in the near future. What we have here is a pre-LO short classic set-up. It is suggested to always wait until LS to take a trade as this is when there is most liquidity and movements in the market, not to mention that often times London MM's like to move prices up for themselves to get better prices for shorting and vice versa. Following the classic set-up we have a nice example of the MM's 'Stopping the drop' to prevent price from drifting to low and allowing for them to continue retracing price up to provide themselves with further shorting opportunities. This may and I stress may be in anticipation of tonights high impact news happening with GBP. Only time will tell as we cannot know how price will move next, but I repeat, this pair may be worth watching for a good move down as Classic and Scout opportunities continue to arise
Edit: I would also like to add in the bigger scheme/picture of things this looks promising. We now know that the MM's have begun their "Run for profits" phase as seen by the first large sell-off. We can now see that price is undergoing a reaccumulation of shorts by keeping it in a range and suckering in longs to go against. This is most notable when seeing what I believe to be a false breakout of the range in a Pump & Dump fashion. I find it interesting that there is greater selling volume after the pump on this move as highlighted. We have to accept however despite all this we cannot know the timing of this, the MM's will move this down on their watch when they see fit, that being said though it does not hurt to be ready and waiting.