Update on the Euro control Bar

Here is a short and quick update on the euro control bar which i had posted earlier. I had said that the ends of the bar were at 1.4225 at the top and the bottom was at 1.4150....Look at the updated hourly chart that i have posted. Look how price came back exactly to the low of the bar to test it and then went right back up. If you had entered close to the low, as i did, at around 4155, you could have easily made 150 pips by now. I took off 107 pips.

Even if you had missed the bottom of the bar, look at the top of the bar that has been marked. Look at the 15M chart that i have attached. Look how price broke the top, retested the top and went right back again. A trade that could have fetched 70 pips easily. All for a DD of less than 10 pips !! Amazing...Isnt it ?

US Bebt Ceiling Raised and we move on to more fundamentals

This week is packed with fundamentals with rate decisions and leading indicators. With Debt ceiling issue behind us we will be looking at UK Services PMI. If that disappoints to the downside, we may see GBP/USD break the Monthly Pivot break from where it bounced off yesterday. There are also Portugal Bond Auctions to be aware of at 9:30 GMT. Depending on the result, it may drive risk aversion or appetite.
All the best!

Control Bar for Euro for August 3, 2011

My apologies but i have been too busy trading this volatile market and doing other activities that i have not had the time to update this blog and do any other activity. Anyway, now that the market has settled down, i have some time to update this blog. Attached is the hourly chart of the euro where i have marked off the top and bottom of the latest control bar in the euro.

The top comes in around 4225 and the bottom comes in around 4150 and you can see that the price has been contained within this band for the past several hours. This shows that a breakout in either direction is imminent. So, do wait for a breakout from this range and take the trade on a breakout and associated price action. Once a breakout happens, i will post an updated chart.

Control Bars for EU and GU

Attached are the hourly charts of EU and GU. The control bars are pretty easy to locate. There are 2 control bars in each and as they are next to each other, we should be considering them both together than each of them separately.

So, i would be looking at the low of the first bar and the high of the second bar rather than the low and high of each bar. In each chart, i have marked off the high and low of these bars. Till price comes within the range of this hi and lo, i will just sit on my hands with nothing to do as far as these pairs are concerned.