FOREX EURUSD - BEAR TREND CORRECTION
Technically the MKT is in a BEAR TREND CORRECTION and has yet to confirm a break in momentum. Positive corrective action today will need some support if it is going to have much staying power, as the negative momentum remains a threat.
Key off the 14373 Inflection Pivot for the session bias.
On the SELL side accept REVERSAL and BREAKOUT strategies. Downside BREAKOUT strategies below 14373 should just "go" with expectations that the negative momentum is going to resume course targeting 14257. If there is more than one pullback after a downside breakout it is more likely that the corrective rally is about to resume. FADE strategies against the 14489 resistance pivot should wait for confirmation as the MKT is correcting and has the potential to be "stop and go" as it probes higher. Keep profit targets tight. A better strategy is a REVERSAL strategy, as a violation of a major inflection point that cannot be held is a negative turning point signal with the potential to be the resumption of the negative trend.
On the BUY side REVERSAL strategies off the 14373 Inflection Pivot will work best with the expectations targeting a new corrective high. Avoid BREAKOUT strategies above 14489 but rather FADE negative reactions off structure after a positive signal. If the corrective trade is going to continue targeting 14593, it should hold structure and maintain a trade above 14373. Once it doesn't its time to roll the other direction.
Note: Although the MKT is in a BEAR TREND the current CORRECTION has the potential to be the start of a positive turn. Don't get stuck in sell strength mode looking to "pick a top" against a structured rise. Rather go with it or wait for the momentum to be broken to jump on the BEAR TREND.
JS
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