Wednesday EUR/USD model hours

[Paul Koszarny]

9:00 (sup 1.0223, res 1.0164) market's reaction to 1.0164 was negative and EUR/USD retreated 18 points.

13:00 (sup 1.0208, res 1.0276)
16:00 (possible pivot 1.0241)
20:00 (sup 1.0184, res 1.0241).

I was selling yesterday from 1.0330. Didn't go long at all. The position was closed on approach to attractor 1.0247.

Today's picture is bearish. Look for some swift changes in the afternoon as all fast MAs are in a cluster. Bollinger bands contracting. Oscillators signalled sell. Volume very light.

Wednesday daily pivot 1.0268. I would expect it to consolidate near 1.0247 today. At the moment it is testing 1.0268. For me good to sell with a tight stop.

The first morning model hour 9:00 was a low. The present rise is reactive with little bullishness. It struggles near resistance.

[Paul Koszarny]

So far one could book 20 pips on a short position from 1.0268.

13:00 seen right now is a model hour. Again there is some reaction capped by the fastest MA. A tight stop should protect against a sharper reaction if closing on approach to the attractor was not effected.

[Paul Koszarny]

The model hour candle looks trend supportive. Still not not far from attractor 1.0247. So anything heavier is being built right now. Stop can be lowered accordingly.

[Paul Koszarny]

It was another selling opportunity. As good as in the morning. And it proved to be hourly resistance from 13:00, namely 1.0276.
A nice slide down to 1.0224. +50 pips going by the hours. Now let's wait for 20:00.

Until now, today we have had:

9:00 rather misleading but due to the level counted as a minor high and shorts established at 1.0268
13:00 a low 1.0234 (30 pips), going long would give 30 pips
16:00 a high 1.0276, going short would give 50 pips so far.
Altogether +110 pips.

[Paul Koszarny]

It is possible that if a significant low is posted between 20:00 and 21:00, then some profit taking may lift the pair from the low, so it could be another buying opportunity. The decision will come during the hour indicated by the model.