Talking Points
EURGBP 30min Chart
(Created using FXCM’s Marketscope 2.0 charts)
Suggested Reading: Trading Intraday Market Reversals
Traders looking to avoid the volatility of this morning’s NFP event, can set their sights on currency crosses such as the EURGBP. Thia pair remained quiet, despite the rest of the market’s volatility, and has maintained its 38 pip trading range. Currently price has bounced off of range support, found at the R3 pivot depicted above. This will allow reversal traders to target the R3 line of resistance at .7864, in the event that price stays range bound.
If price moves out of the marked trading range, traders can begin positioning for a breakout. A drop below the S4 pivot, at a price of .7808, would signal the creation of a lower low and a move back in the direction of the daily trend. A move above R4 resistance at .7882 would create a bullish bias on the EURGBP on a break to new high highs. In either breakout scenario, traders should consider concluding any range bound positioning and trading with the markets new found momentum.
If you would like to be notified as new articles are made available, ple ase click HERE to join my distribution list.
Yesterdays Update
Yesterday began with the NZDUSD breaking out to higher highs above R4 resistance. After prices attempted to retrace, the NZDUSD had again tested new highs by the conclusion of the trading day. To learn more about yesterday’s action, check out Thursday’s FX Reversal article linked below.
FX Reversals: NZDUSD Breakout Update
Then, to practice setting up orders using Camarilla Pivots, register for a FREE Forex demo with FXCM. This way you can develop your day trading techniques while tracking the market in real time.
Click HERE to Register Now
---Written by Walker England, Trading Instructor
To contact Walker, email [email protected] . Follow me on Twitter @WEnglandFX.
To be added to Walker’s e-mail distribution list, CLICK HERE and enter in your email information.