3:38a GMT - I was doing a lot of work on the upcoming PipHut features today so I didn't chat in the forums much (sorry if I missed anything) but the bears were out in full force yesterday. The daily falling resistance was never reached but I did enter into a short on a triple candlestick confirmation that was hard to ignore. On the 30m chart, or anyone checking the Candlestick Alerts (have you bookmarked that yet??), we had a bearish doji, a bearish shooting star followed by ANOTHER shooting star just below 1.3700 resistance. Here's an image of what the candlestick alerts showed you:
The times listed are the OPEN times of the candle in GMT. I covered on the bullish hammer (which the CAS also showed) a few hours later for about 70 pips per lot, though the pair continued to drop for about 50+ pips after that.
Daily Outlook: Currently the pair has bounced off of the 61.8% fibonacci retracement of 1.3550 (retracement of March 2nd low to March 3rd high) and is drifting upward in search of bears. It is Friday and markets have been volatile this week so no shame in taking the day off, but I will look for some very specific setups to trade. If the conditions are not met I will stay out of the markets.
Trading Idea: First setup I'm looking for is for the pair to drift, small candle by small candle up, to 1.3630 resistance and give me a long wick extinction candle that just touches resistance. From 1.3630 short targets will be 1.3600, 1.3575 and 1.3550. Second trade is if 1.3600 holds and the pair makes a sharp break of 1.3540, I will look for targets of 1.3510, 1.3480 and 1.3450. For aggressive traders the pair just displayed a bearish shooting star an hour ago on the 1h charts.
Happy pipping and have a great weekend!