July 18, 2012
- in Uncategorized by schooloftrade
Gold and Euro Futures Technical Analysis
900am
EST
EST
The euro currencyfutures continue to trade sideways at the trend line support drawn from January
of this year. This trend line is clearly a technical support
that appears to be mixing with some buying of the euro above the fundamental big
round number of 1.2000. Is something
keeping this price propped up? Or is the
market really thinking this is the lowest point? The day trading strategy for the euro this
morning is to buy the lows and sell the highs of the short term trading range.
Goldfutures are trading in the lower third of the short term sideways price wedge. We can
assume three scenarios on gold futures this morning. First, price may fall and we will use
wave-pattern short to enter short with a profit target at the price wedge lows,
and then will buy the lows of the price wedge.
Second, price may rise, and we will buy above the PLOD as the sellers
have failed. Third, if we sit sideways
and we stop moving higher or lower (flat trigger lines) we need to sit on hands
and wait for new higher-highs or lower-lows so we can trade them.
