Dec 24 2020 0
It's Christmas, so the market is rather quiet. If you still want to trade, here's the chart analysis for today. Happy holidays my friends.
Price did not change much and continued to accumulate around 103.5. There are no notable new signals. We maintain our old strategy with short short positions reaching the bottom of December. We only give up when the price breaks down 104.
The price could not penetrate the confluence zone 1.215 - 1.217 and is bouncing back around this zone. Trend traders may want to buy at this point at relatively good prices. However, the recent price action shows that the bulls have difficulty pushing prices to make new highs. Therefore, buying at this time has many potential risks. Instead, wait until the price breaks down to 1.227. For reversal traders, you need to wait until the price breaks the trend line, and complete the pattern of the reversal pattern, a rounding top.
Price creates a very noticeable bearish pin bar signal on the H4 chart. However, the position it reappears was not in the important 1.36 barrier. Therefore, if you are trading sideways for a short term following this signal, only probing short orders should be considered. If the downside momentum becomes clearer or when the price breaks down to 1.345, add your position. Put Stop Loss above 1.365.
The price did not break the peak at 1.295 as expected, so we cannot enter new buy orders yet. Currently the price is testing the 1.280 - 1.285 zone. Reversal traders should pay close attention to this area. This will be your last chance to enter orders at a good price; However, we still need to wait for a clear confirmation.
The price recovered slightly from around the uptrend line, meaning that the uptrend was not violated. However, with the holiday market, it is unlikely that prices will soon return to the mainstream uptrend. Instead, it will likely create a range in the coming days. You should notice the two boundaries of this accumulation zone. Avoid trading when the price is in the middle of the range.