Go on US traders!
Skerdian Meta • 1 min read
Have you guys seen the trend reversal pattern in the US Dollar forex pairs on Friday and yesterday morning? After a two week uptrend in EUR/USD and GBP/USD, the US bulls put up a fight and these two forex pairs retraced about 100 and 150 pips respectively. But the USD bears stepped in again and the gains that the US made during the retrace have already evaporated.
Which side of the fight are you on?
EUR/USD is near the highs, while GBP/USD took a glance above 1.32. In the last three hours though, the USD bulls have decided to fight back again which sent the USD forex pairs about 25 lower. If you want to scale down to lower timeframes, you can see the same fight between the bulls and the bears in the 5-minute chart, up in the previous three candlesticks in 5-minute forex chart, then down in the last two candlesticks.
There´s a bitter fight taking place right now between the two sides. But, the USD bulls seem to have gathered strength from what the price action tells us, because the upside is looking quite tough, particularly in EUR/USD. The higher US new home sales have given them some confidence as well. That said, remember that we´re still in the holiday season and the liquidity is thin, which might lead to some "fat finger syndrome" moves.