US
UK
Chinese
Japanese
Hong Kong
Australia
Spanish
Deutsch
Portuguese
Korean
French
Russian
Daily Outlook: The market has been stuttering as we find ourselves book-shelved between Easter hangover and the waiting period before the FOMC minutes / Bernanke show. We did manage to bank nice pips off the 11:00 EU shooting star though and we still have 1 short lot open with a hard stop at 1.4585 (just a smidgen of profit locked in on this last lot).
After yesterday's price action we can pretty clearly see a pennant pattern has developed on the 1h charts - with a bearish breakout to the downside now. 1.4585 is now short-term resistance and even if our remaining lot gets stopped out here we will watch this area for signs of turning around for an aggressive short.
On the other hand if we see a sustained break to the topside of 1.4585 and no bearish signals in CP then we'll look to get long and assume that yesterday's bearishness was a false breakout/consolidation ahead of Bernanke's flying circus.
Follow us
Trading Idea: We have 1 remaining lot from our short yesterday with a hard stop at 4585 (which has come within a hair of being tripped at the time of this writing and we wouldn't be surprised is tripped in the next couple minutes). Even if our SL is tripped for a small profit we will look for aggressive CP signals to get short again with targets at 1.4560, 4530, 4505 and 4480 for 105 pips profit.
Otherwise if there is a sustained break above 4585 and no bearish CP signals we will look to get long with targets at 1.4610, 4640, 4670 and 4695 for 110 pips profit.
