The Dec'09 BRITISH POUND bounced off support but remains vulnerable to a return to the offer with all trading below the 16073-16061 Inflection Pivot. If the current optimism is going to fizzle the MKT will run into a wall here. A held breach of 16061 will give this contract a confidence boost up to 16155 with the potential of climbing up to 16390 before it exhausts.
A break under 15872 is needed to put the currency back on the hot seat targeting the 15779-15755 support band. Use caution. Although a reaction is expected, a held trade at these levels is a sign of weakness that puts the 15443 target in reach.
The BEAR TREND CORRECTIVE technical state will typically have sharp corrective rallies against the underlying negative momentum. This technical state will remain in force below the 16073-16061 Inflection Pivot. Above this price point expectations are that the MKT will produce a transitional shift into a neutral position or a strong rally to nowhere.
As the underlying trend is down any negative signal today has the potential to be the beginning of a new move south.
JS
Strategy Based Trading is a methodology that focuses on the applied strategy verses a specific market and looks to align strategies with markets whose current technical behavior matches the strategies criteria.Please review the following CME sponsored tutorial for a complete overview of this approach.STRATEGY BASED TRADING Review http://progressive.powerstream.net/008/00102/edu/interactive/js_services/strategy_based_trading/index.html
For more information please contact me at info@jsservices.com. You can also visit http://www.jsservices.com/.The Inflection Pivot levels are available as a chart overlay on the following platforms; Ninja trader, Strategy Runner and eSignal. Sign up for a Complimentary FREE Trial.
For more information please contact me at info@jsservices.com. You can also visit http://www.jsservices.com/.The Inflection Pivot levels are available as a chart overlay on the following platforms; Ninja trader, Strategy Runner and eSignal. Sign up for a Complimentary FREE Trial.
