Peter Bain Forex Trading Commentary for Tuesday August 29, 2006
Forexmentor.com Forex Trading Price Action
If you take a look at the 60 minute chart for the euro, with the 200 EMA plotted, you will clearly see that the trend on price action was down, coming into today's session.
Selling the rallies in the downtrend becomes all the more obvious when you plot STO (Stochastics - Slow), and witness the peaks in relation to where price was with respect to the 200 EMA. We had a turnaround today at the London open, facilitated by negative divergence on MACD to price (same yesterday). The Big Dogs are still heavily short the euro (and the pound), and this augers well for a swoon at some point - possibly to the 2480 level. This is supported by Elliott Wave Analysis (a la Doug Rawson, one of our members).
Patience is called for here, as we are still in the summer doldrums, and could be until mid-September, when everything returns to normal, and people are back from their vacations.
For more on trading strategies, tips and techniques, please refer to the various entries and modules in the members area at www.ForexMentor.com.
See today's chart at: http://www.forexmentor.com/campaign/aug2906.html
See latest sample AM Review at: http://www.forexmentor.com/sampler/
If you take a look at the 60 minute chart for the euro, with the 200 EMA plotted, you will clearly see that the trend on price action was down, coming into today's session.
Selling the rallies in the downtrend becomes all the more obvious when you plot STO (Stochastics - Slow), and witness the peaks in relation to where price was with respect to the 200 EMA. We had a turnaround today at the London open, facilitated by negative divergence on MACD to price (same yesterday). The Big Dogs are still heavily short the euro (and the pound), and this augers well for a swoon at some point - possibly to the 2480 level. This is supported by Elliott Wave Analysis (a la Doug Rawson, one of our members).
Patience is called for here, as we are still in the summer doldrums, and could be until mid-September, when everything returns to normal, and people are back from their vacations.
For more on trading strategies, tips and techniques, please refer to the various entries and modules in the members area at www.ForexMentor.com.
See today's chart at: http://www.forexmentor.com/campaign/aug2906.html
See latest sample AM Review at: http://www.forexmentor.com/sampler/
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