EURUSD, still bullish.

10 jul 2018

Today was quite the risk off first half of the day with USD, JPY surging and EUR, AUD, NZD falling. Markets continued to rally though. After forming a nice H&S pattern at the top of wave 3, EURUSD went into a correction wave 4 in an ABC formation, which went by the book: no more than 50% retracement and not getting into the territory of wave 1. Additional long position at wave 4, stop below 1.16800, target wave 5. Forming a spinning top candle with a long lower wick showed buying pressure and now momentum is on the upside again, going for impulsive wave 5 higher than 18.5 level at least 1.618 Fibonacci expansion of wave 1-2. So far technicals are holding nicely.
Happy Trading!

10 jul 2018

Nota

US announced 200bn preparation for extra tariffs on Chinese goods!

11 jul 2018

Nota

11 jul 2018

Nota

Trump strikes again! Yesterday with a good completion of a corrective 4th wave (a-b-c sub-wave), EURUSD started sub-wave 1 which topped at the 50 SMA after 2 doji candles and one shooting star. Then news regarding $200 billion tariffs against China came out. Immediate risk off mood: USD, JPY buying, AUD, NZD selling. Even if the move was fundamental, psychology in market still holds. Making a low for sub-wave 2, but not retracing fully to the start of sub-wave 1. Now after ECB announcement about future rate hikes (cabinet split on when to do it), EUR surged and accordingly we are continuing with wave 5 (sub-wave 3). Wave analysis still holds and pair looks bullish as long as the lows are not broken.