Euro Daily
Monday moved higher after 7pm EST (Sydney time), as prices looked to be moving back towards the 3-day filters.
Tuesday:- 3-day filter resistance
I'm bullish on spreads only because of the view of price moving back into September 50% levels.
But at this stage nothing suggests that a UP move is going to take place on Tuesday.
If there is an UP move on Tuesday it will have to be breaking above the 3-day filter, which I can't see happening at this stage until US trading hours...
I'm much more bullish on a reversal pattern when the 3-day filter drops below the 5-day 50% level, which it's not atm.
When that happens I'm more inclined to look for long positions on the breakout above the 5-day 50% level.
Therefore:- 3-day filter resistance with an expectation that a minimum 41 pip reversal, but after that a random pattern during US trading hours.
Either it continues down on Tuesday or breaks higher. (which doesn't suit my trading hours to be trading long positions)
- All Daily forex reports are written before 9.00am Sydney Time, which is approximately 3 hours before Midnight GMT
