Dec 31 2020 0
Today's session, EU market will rest, and the liquidity in Europe session will be low. After today the market will be closed for 3 days so you should consider not holding the order if it is not really necessary.
- The EU stock market continued to rise slightly on Wednesday as UK approved the use of a new Covid-19 vaccine from AstraZeneca (NASDAQ: AZN) and betting on more financial aid from the United States, along with efforts to speed up the vaccination process. All of this has boosted expectations for a strong recovery in the world economy in the new year.
- Meanwhile, US stock indices hit an all-time high this week on hope that US lawmakers will adopt a larger fiscal stimulus package, despite delays.
The price has dropped to the bottom of December as expected. If you haven't exited, consider it. Motivation is not much and the market is also afraid that the Japanese Government will speak up if the JPY is too strong, so it is difficult for this bottom area to be broken. You should not add a new short order as there is likely to appear a bullish correction from here. The less likely scenario is the December bottom is breached, when the bulls' next stop is at the 102.8 price zone.
Price broke the resistance zone 1.227 as expected. A pullback has also satisfied those who play it safe. Although the doji appeared after the breakout, showing the hesitation of the market, this pattern is now seemingly invalid, so you don't need to worry too much. We will continue our uptrend strategy with a target of 1.235 followed by 1.240.
If we did not worry about the recovery phase yesterday, today is different. The price invalidated the previously generated bearish signals and showed signs of a breach of the important 1.363 hurdle zone. In case the previous short orders have not been stopped out, you can continue to hold. However, it is not advisable to add new commands in this area. We will abandon short term sell strategy when the 1.363 zone is completely broken.
We are concerned about our prospective buy orders already. The pin bar model has been disabled and the 1,280 transition zone is also broken. As planned, we temporarily abandoned the strategy of buying. In the short term, the price is likely to approach the December bottom. The price action in this zone will give us a clue about where to go next.
The price broke the threshold and resumed its upward trend earlier than expected. Anyone who has entered the order in time can consider leaving early. If there is no order yet, it is necessary to wait for a retracement to the conversion zone before buying because the price has approached the confluence of 0.77, a better entry point in this condition.