Saturday, September 10, 2011
Trend for 10th of September 2011
Hi, fellow market trend analysts and independent traders. Yesterday I talked a lot about eur/gbp pair. Today the post will be very short. I just wanted to say a few ideas of mine how to prepare for Monday in terms of the security I have just mentioned. I wrote yesterday, that we can have both continuation of the move downwards for the critical support was mildly broken, or we could have a reversal and the pair will come back to its’ former range. So, what do we do having this information.
I would personally see where the market goes during Asian session. If it retraces upwards to some most immediate resistance and forms a reversal pattern (such as 123 or head and shoulders) on smaller time frames (5-15 minute charts), it would be a good possibility to sell the pair and go lower with the market (if it does go there). If the pair continues falling during Asian session and then forms a reversal pattern at other level of support it might be a sign to go up. Wait for reversals on the bottom too. And of course, the pair can simply turn upwards during Asian session and the entire move from Friday will be forgotten.
Use your sound mind and do not overtrade. Learn to analyze before you jump on any trade. It might be a good idea not to trade at all and spend the day for monitoring price action in this and other securities. Good luck in whatever you do. See you tomorrow.
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