If this week has a reversal in it and follows anything like the normal buy template we should make the weekly low by Tuesday's London open and trade up the rest of the week (and potentially up until August!).
Cable
I used the low before the big push up on 6.15 to draw my fib from. That gives an OTE of 5565. 79% retracement was hit today with the low of 5537.
If the banks do not need to sweep below yesterday's low drawing a fib on this latest swing up gives an OTE of 5550, a level price spent a lot of time at today.
London open could see a Judas down to one of these levels and a reversal. If I were to pick between the cable or fiber to go long I would pick the cable.
If price wants to have a down day and miss the London open for the weekly low we may Judas up to 5600.
Fiber
Drawing a fib from the low made after the May slide to the monthly high has us sitting right north of the OTE level of 2423. Within the 62-79% retracement is a HTF support level of 2450.
Price is currently traded up to the 2520 level so it is quite a ways a way for a Judas but we have seen them move it further than 70 pips. So we may have a Judas up and just trade down for the daily move to support. Some levels to watch would be around the 2550. Weekly high is 2557 and 2549.
This would allow the banks to clear out any stops below today's low of 2470 before turning the ship around for a long climb up.
No comments:
Post a Comment