Price failed to trade the Yearly R2 with 22 pips and has sold off rather
sharply since and is now inside the Pitchfork again. With the Yearly R2
untraded and the Weekly Pivot point untraded, a likely scenario would be
to see price attempt to test the Weekly PP at 1.1864 which stands close to
previous top at 1.1882. These levels would be good to step in with longs
if price finds support, to aim for the Yearly R2 at 1.2090.
With the NFP coming up on friday caution is adviced for taking larger
positions. Scalping on the short side on low timeframes could be one
approach, targeting the Weekly pp but to stand on the side is also a good
position at this point, waiting for clarification. The Kijun Sen, white eq.line,
has been supporting on this last leg up and might do so again. It currently
stand at the Daily S1 at 1.1922, which adds support here.
The Shooting Star on Daily Timeframe might be appealing but I don´t like
it because of the untraded Yearly R2. It may simply turn out to be a bear trap
in the end. It is worth noting though, that sometimes the Yearly pivots are
left behind if price comes close enough to them. However, the sell off may also
simply be profittaking before the NFP on friday.
sharply since and is now inside the Pitchfork again. With the Yearly R2
untraded and the Weekly Pivot point untraded, a likely scenario would be
to see price attempt to test the Weekly PP at 1.1864 which stands close to
previous top at 1.1882. These levels would be good to step in with longs
if price finds support, to aim for the Yearly R2 at 1.2090.
With the NFP coming up on friday caution is adviced for taking larger
positions. Scalping on the short side on low timeframes could be one
approach, targeting the Weekly pp but to stand on the side is also a good
position at this point, waiting for clarification. The Kijun Sen, white eq.line,
has been supporting on this last leg up and might do so again. It currently
stand at the Daily S1 at 1.1922, which adds support here.
The Shooting Star on Daily Timeframe might be appealing but I don´t like
it because of the untraded Yearly R2. It may simply turn out to be a bear trap
in the end. It is worth noting though, that sometimes the Yearly pivots are
left behind if price comes close enough to them. However, the sell off may also
simply be profittaking before the NFP on friday.