And this was the outlook a few minutes ago. After stressing on the RSI, a quite crazy MACD activity and very strong ADXR reading, price changed direction. But we are not there yet. I think I am getting quite ahead. First thing we have to do is go to our favourite economic calendar to try and figure out why. If you do some technical analysis, you can easily figure out that this is breaking patterns. Was it because traders went mental at the same time? Nope. It was because important numbers were released by both the EC (at 1000h GMT) and the New York Fed (at 1330h GMT). For you experienced traders, I don't think I really have to say. You probably were following in different places all these news and cross checking the data. And it was shocking. First the German ZEW (which always makes the markets move wild) changed the bearish tendency of the EUR (which was quite strong). Overnight traders must have though about it, and data was quite good, pointing an improvement, as the survey was reflecting. And the market price had to reflect it. And that started on the 16/01/2012 at 2300h GMT, when some traders chose to make a stand at the support level around 1.2640. From there on, sentiment drove the pair up. Until it finally reached 1.28088. Almost 200 pip trend. WOW. But then it consolidated for a bit, until the USA drove the price down strongly after the Empire State Survey released the 13.48. Strong stuff. Tends to affect the markets quite a bit. But this time it really affected them, driving the price down almost 100 points. It seems to be consolidating right now. Euro seems to be still very threatened and it doesn't help that Greece is still risking default, with all the consequences that would bring over the EU, including an exit of said country. Follow the pair closely, and even more during strong trends and news. It is still strongly bound to make big moves with loads of pips to be caught. Good luck, and may the trend be your friend.
