I want to make my last post for today and do the roundup for eur/usd and gbp/usd pairs. These two are my favorite ones. US session is about to end and we can place all the dots on i.
The pair continued with a bearish bias today. A really good sell signal developed at the start of US session when a couple of bearish pins formed blocked by 200 sma and ema on 15 minute chart. A short could be taken when 13:15 GMT (candle closed) with a stop loss above 1.1125. It would have been around 15 pips depending on your broker spreads and quotes for the pair. Euro is coming back to the middle of the range now. It may start tomorrow European session with a fresh break below today’s low or coming close to it. In that case I would wait for a bullish reversal signal to go long. The same is true if price goes up during European session and forms a bearish signal. I would be happy to go short.
British Pound exhibited the same kind of behavior as Euro. The pair rallied initially at Frankfurt open, then formed bearish railroad tracks and reversed suddenly. It then proceeded to fall and it did fall through European and US sessions. It does not look like it is ready to bounce now too. However, daily close at the lows does not mean tomorrow price will head lower. On the contrary, it may reverse and go up and even breach today’s high. If today low is broken I will wait for a reversal pattern to go long.
gbp/usd bullish signal on 15 minute chart