Relative equal highs around the 4.329% level is prone for smart money to liquidate those who placed their stops above recent highs.
Stagnent throughout the week but the overall sentiment for yields over the short-term is bearish as a LH was formed, piling shorts to place their stops above recent short term highs as well as yields being bearish 2 weeks in a row, forgiving the fact that this weeks trading has been choppy.
I cannot discount the possibility that we could continue to see a selloff into 4.140% before a major pullback with Wednesday and Friday being the most volatile day due to the volume of red folders coming out.
Yields bullish projection goes hand-in-hand with Euro's weekly short projection to 1.25180 with a stretch target of 1.23623.
Dollar Index will also have the freedom to reprice higher as a weaker Euro generally leads to stronger Dollar.
Looking forward to see how this weeks price action plays out as we could be in for some fireworks leading into the ending of this week...
Will we sell the short traders a dream by continuing to retrace lower, piling in more shorts (with, of course SL's placed above recent highs) before ripping their eyeballs out or...
Sweep through sellside liquidity down at the lowest displacement new week opening gap @ 4.024 enabling bonds to freely move to the upside?
My philosophy is simple...
Fortify Michael J Huddlestone's concepts that I have studied to consistently predict where the market is more likely to go.
This includes;
- Market Structure
- Buyside/Sellside Liquidity
- Order Blocks
- Liquidity Voids
- Fair Value Gaps
- Optimal Trade Entry
- Premium/Discount Array
- SIBI/BISI
- Many More!
The strategies mentioned here are some of many that I use to implement into my analysis and over time, with consistency I aim to achieve a high degree of accuracy in the markets with the foresight and understanding to assess what went wrong when my bias is negated.
Credits;
- Michael Joe HUDDLESTONE
- Shawn Lee POWELL
- Toray KORTAN