EURUSD LONG, DXY fails, EXY continues
EURUSD is in difficult territory though I start to become more bullish. Reasons why:
Dollar index:
Chart: broke structure, it may show a reversal pattern (H&S) so no confirmation yet both bullish or bearish, nevertheless, it is still below structure so that is bearish.
Fundamentals: USA tends to surpluses, reduce spending, all bad for economy so usd lower?
EUR index:
Chart: still in short term 5 wave and no clear reversal signs close to resistance levels. Short term bullish.
Fundamentals: brexit uncertainty remains, though political environment improves. Tend to deficits again and monetairy policy is reducing so all slightly more bullish.
EUR/USD:
Chart: F-flag forming. moving higher in F flag.
Dollar index:
Chart: broke structure, it may show a reversal pattern (H&S) so no confirmation yet both bullish or bearish, nevertheless, it is still below structure so that is bearish.
Fundamentals: USA tends to surpluses, reduce spending, all bad for economy so usd lower?
EUR index:
Chart: still in short term 5 wave and no clear reversal signs close to resistance levels. Short term bullish.
Fundamentals: brexit uncertainty remains, though political environment improves. Tend to deficits again and monetairy policy is reducing so all slightly more bullish.
EUR/USD:
Chart: F-flag forming. moving higher in F flag.
Comment:
it is a bit "bluffing" to publish something before the FED minutes, however I read the chart like this. situation can be a lot different in the charts after the minutes.
Trade closed manually:
closed this trade with a nice profit.