Peter Bain Forex Trading Commentary for Wednesday May 17, 2006
Forexmentor.com Forex Trading Price Action
Switching to the euro today, the trend at all levels is clearly up. Today was no exception, what with the golden cross of the 89 and 144 EMAs last evening ET. That was followed by a dip going into the London open.
Remember the old adage, 'buy the dips in an uptrend?'
When trying to negotiate entry points in an uptrending market, the use of an oscillator like Stochastics (STO) is helpful - i.e., buy when STO goes oversold (at least below the waterline 50 level).
You can see that it is okay to buy above the central pivot point, when there is upward price momentum. Everybody is looking for a correction in the euro, and we will only know when that happens by paying particular attention to the technical indicators on the higher level charts.
See today's chart at: http://www.forexmentor.com/campaign/may1706.html
See latest sample AM Review at: http://www.forexmentor.com/sampler/
Switching to the euro today, the trend at all levels is clearly up. Today was no exception, what with the golden cross of the 89 and 144 EMAs last evening ET. That was followed by a dip going into the London open.
Remember the old adage, 'buy the dips in an uptrend?'
When trying to negotiate entry points in an uptrending market, the use of an oscillator like Stochastics (STO) is helpful - i.e., buy when STO goes oversold (at least below the waterline 50 level).
You can see that it is okay to buy above the central pivot point, when there is upward price momentum. Everybody is looking for a correction in the euro, and we will only know when that happens by paying particular attention to the technical indicators on the higher level charts.
See today's chart at: http://www.forexmentor.com/campaign/may1706.html
See latest sample AM Review at: http://www.forexmentor.com/sampler/
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