Recap Similar jawboning and again 1.35 defended in an ugly fashion. Surprise jump higher squeezed euro above Y-0 by the end of the week. Closed the week above Y-0 and midpoint.
Outlook On weekly, euro has been in a down channel for a long time. It is now broken to the upside. If euro re-enter the channel, it will have enough fuel to flush down to way below 1.35.
Since we know that is the consequence, so do the officials in Europe. By defending B-0 at all cost, they may be able to pull off a major short squeeze sending euro back up to 1.38 and higher.
Hence B-0 is the line in the sand. Expect messy price action around it in coming 2 weeks.
For more information about this report please refer to the Market Bias Informant pageTrading day for Forex symbols start at around 5 pm ET depending on Daylight Saving Time schedule
For more information about this report please refer to the Market Bias Informant pageTrading day for Forex symbols start at around 5 pm ET depending on Daylight Saving Time schedule
Lawrence's Comment
Recap
The cleanest swing bottom for a long while. The exact formation I was looking for last week, bottom formation clearing resistance, happened and gave us Y+2 normal ...
Lawrence's Comment
Recap
Above 1.12 resistance continues to cap the upside for euro. Test of Y+1 dropped euro back down to below 1.12 quickly. Closed the week above Y-0 and midpoint.
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Lawrence's Comment
Recap
Intervention effect mostly erased by Thursday. Yet, after 100% absolute range established, NQ found the excuse to go higher and closed the week above midpoint and previous ...
EURUSD Feb 10 to Feb 14 Outlook
Lawrence’s Comment
Similar jawboning and again 1.35 defended in an ugly fashion. Surprise jump higher squeezed euro above Y-0 by the end of the week. Closed the week above Y-0 and midpoint.
Outlook
On weekly, euro has been in a down channel for a long time. It is now broken to the upside. If euro re-enter the channel, it will have enough fuel to flush down to way below 1.35.
Since we know that is the consequence, so do the officials in Europe. By defending B-0 at all cost, they may be able to pull off a major short squeeze sending euro back up to 1.38 and higher.
Hence B-0 is the line in the sand. Expect messy price action around it in coming 2 weeks.
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