I’m not sure where trades stand. EUR/CAD hit target at 1.4837 from 1.4751 and EUR/USD hit at 1.1204 from 1.1155 We were caught on the short reverse from target as both pairs decided to go higher to extensions. We’re not caught, I didn’t plan for extensions to be seen. Extensions are nasty areas but aren’t seen very often. Non Farm Payrolls has a habit to see extensions to offer an example. If short stay short, we’re okay and not to worry. NZD/USD saw 0.6403 and bolted straight down on the RBNZ cut. The statement is on site for interested. It dovetails well with original commentary. Tradeables is again the big issue for New Zealand.
EUR/USD. Bottom. 1.1177. Range break above 1.1324, Below 1.1143. Overbought sell point 1.1299. Strategy. Longs above 1.1234, Target 1.1299. Then reverse short to 1.1266. Points on the way up, 1.1239, 1.1253, 1.1268, 1.1283, 1.1299. Failure point 1.1268 then short reverse to 1.1251.
Shorts below 1.1233, Target 1.1205. Watch this point for reversal to 1.1233. Below 1.1205, points on the way down, 1.1230, 1.1222, 1.1215, 1.1208, 1.1191, 1.1177 Bottom.
Brian Twomey, Inside the Currency Market, btwomey.com