11/26/08 12:02 pm - EURUSD: Caution, failure swing

The pair has turned down overnight leaving an RSI failure swing on the charts. Pattern however still bullish looking with the recent downturn looking more like a healthy correction than the end of the hourly upward trend. Nevertheless, the failure swing, coupled with thin Thanksgiving volume, warrants caution, and I plan on exiting this trade on a failure to break key resistance at 1.2958. But will reestablish long at 1.3040 when price action has re-confirmed the current uptrend. Stay long if feeling aggressive.

Support:1.2828 Fibo62    1.2802 HSpptRsst    1.2565 HSpptRsst

Resistance:1.2958 HSpptRsst    1.3080 HRsst    1.3115 H-11-5

RSI: Hrly: capped by decl TLs, Dly: supported by rising TL, near 50, bullish and room for upside

Hourly Chart:

Leave a Comment