Yellow zone acted as support and the pair went higher as expected. It did not quite reach the target area (green zone) because it stalled when it reached the range of the initiation period (i.e. range of the first week of the month). That signaled a retest of prior week high and so it did. Closed the week above midpoint.
Next Week Outlook
Upside target area (green zone) is still in play. Reaction at that area will tell us if further continuation to the upside is possible.
Best case scenario for long side is that the pair does not even pause at the green zone, that implies 1.63+ is in play.
If the pair stops at the green zone with a 1-2-3 sell visible on 4 hour, previous week low (yellow zone) will be tagged quickly and an attempt to run back down to 50% downside expansion target (red zone) is likely.
Lawrence's Comment
Recap
As oppose to holding above Y-0. Canadian dollar moved with its other metal currency pairs gaining strength over USD.
The failure to hold above Y-0 points to the ...
I have been thinking of what kinds of real-time trading tools will help the Emini day traders. I came up with several concepts last year but was stuck with technology ...
Lawrence's Comment
Recap
NQ sold off in the beginning of the week as expected. It sold off back down to the crime scene where the short squeeze originally started. Since then NQ ...
Lawrence's Comment
Recap
Y+1 (i.e. 15000) acted as resistance as expected and sent Dow back down yet it failed to test Y-0. This is bullish. 2nd attempt at Y+1 breached the resistance ...
GBPUSD Jan 24th to 28th Outlook
Recap of Last Week
Yellow zone acted as support and the pair went higher as expected. It did not quite reach the target area (green zone) because it stalled when it reached the range of the initiation period (i.e. range of the first week of the month). That signaled a retest of prior week high and so it did. Closed the week above midpoint.
Next Week Outlook
Upside target area (green zone) is still in play. Reaction at that area will tell us if further continuation to the upside is possible.
Best case scenario for long side is that the pair does not even pause at the green zone, that implies 1.63+ is in play.
If the pair stops at the green zone with a 1-2-3 sell visible on 4 hour, previous week low (yellow zone) will be tagged quickly and an attempt to run back down to 50% downside expansion target (red zone) is likely.
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