Technical outlook and review

2014年7月9日

EUR/USD:

4hr TF.

The higher picture resembles the following:

• Buyers and sellers still remain trading within weekly demand at 1.34760-1.36314.

• Trading remains capped between daily supply at 1.37297-1.36879 and daily demand below at 1.34760-1.35265.

It was reported in the last analysis that a decision needed to be made, that decision was to either break the low 1.35746, or break the decision point level above at 1.36076.
A break of the latter was seen, clearly there was too much demand around the 1.35870 area. Price action is currently seen retesting the decision point level (1.36076) which is, at the time of writing proving relatively successful with buyers beginning to show interest forming a pin-bar shape pattern.
If the buyers do indeed confirm the new support level (1.36076) there is very little from stopping them pushing price up to the decision point level seen at 1.36632-1.36485.

Pending/P.A confirmation orders:

• No pending buy orders (Green line) are seen in the current market environment.
• P.A confirmation buy orders (Red line) are seen just above demand (1.35018-1.35375) at 1.35417. The reason behind us placing a P.A confirmation buy order here, rather than a pending buy order is because the aforementioned demand area appears weak as deep spikes have been seen recently (marked with two arrows).

• No pending sell orders (Green line) are seen in the current market environment.
• P.A confirmation sell orders (Red line) are seen just below supply (1.37224-1.37028) at 1.36894. A P.A.C order was selected here due to the reaction seen at the aforementioned supply area proving its validity. However, pro money may well decide to push price higher into this supply area if/when price returns to it, thus making it a risky trade for a stop above the high 1.36995 which could be very easily be stopped out if a pending sell order was set, hence the need to wait for confirmation.
• The P.A confirmation sell order (Red line) set just below the decision point level (1.36076) at 1.36053 has now been cancelled. Price has rallied too far from the entry level.

• Areas to watch for buy orders: P.O: No pending buy orders are seen in the current market environment. P.A.C: 1.35417 (SL: Dependent on price action after the level has been confirmed TP: Dependent on approaching price action after the level has been confirmed).

• Areas to watch for sell orders: P.O: No pending sell orders are seen in the current market environment. P.A.C: 1.36894 (SL: Dependent on price action after the level has been confirmed TP: Dependent on approaching price action after the level has been confirmed).