Jun 17 2021 0
To sum up, we just won a big catch after FOMC. Enjoy the results and wait for new opportunities!
- The USD bounced strongly as the Fed forecasted an interest rate hike soon and acknowledged discussions about tapering had taken place.
- US retail sales fell more than expected in May but sales in April were revised up sharply and much higher than pre-pandemic levels.
- Separate data showed wholesale price inflation rose to 6.6%. Last week's consumer price data also showed the strongest increase in more than a decade.
- US President Joe Biden and Russian President Vladimir Putin will meet in Geneva late Wednesday, with low expectations of any breakthrough in their first meeting since Mr. Biden took office.
- The Fed is not the only central bank concerned about high inflation. The BoE is in a similar situation when inflation unexpectedly surpassed its 2.0% target in May, hitting 2.1% as the country reopened its economy after the lockdowns.
The price has once again confirmed the bullish structure breaking the 110.2 resistance area. However, the price has broken out of the ascending channel line, and is about to approach the highest price of the year around 111. There have also been signals that the market is in an overbought state, you should consider take profit on the remaining buy orders, expecting to see downward corrections.
After completing the head and shoulders reversal pattern, the price has approached our price targets, including the farthest target of 1.20. You should consider taking profit on all sell orders. There is a high possibility of a correction or consolidation after the recent strong downward price move, we will look for selling opportunities, but only after corrections.
The price finally broke out of the range, broke through the 1.41 confluence, invalidated the previous bullish pin bar pattern and completed the rounding top pattern. The signals are satisfied, you can consider selling orders, the initial target for this drop will be around 1.38.
The 1.22 zone has been broken, the price is heading to the target area of 1.235-40, you can still hold the buy order, if you want to enter a new order, you need to wait patiently for the price to correct around 1.22 before buying for a better RR.
The price has approached the target area of 0.76, consider exiting the order, the possibility of upward corrections will occur, we will wait for new bearish signals at the top to sell.