A late day sell off in the US markets has created a great opportunity to look for buy setups. I highlighted 1295 to 1305 as my key support zone in the June Eminis and we are here right now -please see chart below. I said on the weekend that "breadth was once again rather weak and there was no volume supporting the move which makes me think that we are not on the cusp of a major breakout until some more consolidation ensues". Here is our consolidation. I am looking for a clear reversal candle to get long out of this zone as my entry trigger.
Emini 60mins:
S&P Cash 60mins:
Nasdaq 60mins:
The downward trendline I showed has kept the rally in check. Look for breakouts of this short term wedge pattern to get long. 2290/2300 must hold to keep the bullish scenario intact.
AUD reversed off the 1.03 spot level. I think we will see more consolidation/weakness before a further breakout can ensue. Please see yesterdays post for the short term short setup.
EUR held the 1.04/1.042 support level. I am actually thinking that this whole move off the high is now corrective and have tightened up my risk on my open short trade to breakeven. It is still early days but I am monitoring a possible flag pattern that could lead to a retest of 1.4250 and beyond. Bears need 1.040 to break to increase momentum to the downside and look for new shorts below there.
EURUSD 60mins:
Tuesday is moving day. Good Luck
Austin
