currencia,
relax i have not suggested you stop using TA's.for maximum profits you have to use TA's.
problem i have is people using TA's to the total exclusion of the underlying factors affecting currency movement.or any other instrument for that matter.You have to remember that the major movers in this market are primarily hedgers and you can be assured that they rely on fundamentals to do their trades.
it would be unwise not know the underlying reason for any long term trend. If the trend is your friend whats his name?
like it or not any significant breakout is fueled by fundis.The market is rational at breakouts.that is why you find prices bouncing off major pivots until fundis are released.
news is not only limited to the 8.30 est it is long term .why's the dollar depreciating ?and is the new info available enough to stop the trend?
that is why we have sucker moves right after fundis.current price has already priced in tommorows expected data .The trend will not stop unless the data is unexpected.so if the data is expected the initial reaction will be a price move to a pivot ,retracement ,then continuation with the trend.if unexpected then it will break a trend or reaffirm a trend.
In a perfect world TA's would work by themselves and fundi's too.
good luck trading.
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