END OF DAY REVIEW 08/10/12

 

END OF DAY REVIEW 08/10/12

EURUSD

#1 Was the 1st overshoot of the bull trendline follwing an earlier trendline break.
Traders could look for a L2 to short. This chance presented itself 9 bars later.

#2 Was the 4th bar of a bear spike phase.

#3 set up a H1 after a 4 bar bear spike however the sell stop order was not triggered
in the next 3 - 4 bars so the order should be cancelled and the tarder should reassess
the market for the next entry.

#4 Was the underside test of the bull trendline. It was also an outside down bar.
This could be the entry for the 2nd leg down following the earlier bear spike.

#5 Was a double top lower high short but probably not the best looking entry at this
point since the market seemed to be transitioning into a range. A safer bet would be
to wait for a break below the last swing low that would determine the always in direction.

#6 Was the largest of all recent bear bars and a break below the range low. At this point
traders might view the always in direction as already changing to the short side.


#7 Was the first pullback that went near the TL following the large bear trend bar at bar #6.
It was also an inside down bar.

#8 Was a H2 Long but with so much bearish momentum and without a prior trendline break,
no long should be considered. Traders could instead wait for a test of the bear trendline
to look for short entries.

#9 Was an inside down bar, a bear TL test and also the first Gap bar in the new bear. 

#10 Was a reasonably easy with trend L2 short at the EMA. The bear TL is yet to be broken therefore traders should only be looking for short entries.

#11 Was a breakeven stop test of the bar 11 short entry. It was also a L2 short beyond the EMA. 

#12 Was a tiny inside up bar following a 3 push that overshoot the bear trend line. The bear TL break which happened 2 bars before bar 11 lacked conviction so no long should be considered.