EURUSD Gives Text Book Sell Signal

The sell signal EURUSD gave this AM was good enough to be on a postcard.¬† It showed up cleanest on the 15¬†& 60 minute charts, but this 240 minute gives us a nice snap-shot¬†too — see chart below.¬†We¬†had a shooting star right on 130.00 to¬†cap off the counter-trend move which bubbled up last week following a test of the Dec¬†low.¬†¬†¬†¬†¬†¬†¬†¬†

Markets work best when we are seeing both sides, which means they are facilitating trade. And in my opinion there are no better set-ups than getting an extended counter-trend move up to a long-term down trend line, and then getting a clean signal, which is what we see on the chart below.
It can’t be stated enough in trading that you have to see both sides of the market!¬†

It also helps to know the why and how of both leading and lagging technical indicators.

DISCLAIMER: Futures, options and Forex (off-exchange foreign currency futures and options, or ‚ÄúFX‚ÄĚ) trading involves substantial risk of loss and is not suitable for every investor. The valuation of futures, options and Forex may fluctuate, and, as a result, clients may lose more than their original investment.

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About Jay Norris

Jay Norris is Director of Education at Trading University, has over 30 years of trading experience, and is the best selling author of "Mastering The Currency Market", McGraw-Hill, 2009, and "Mastering Trade Selection and Management", McGraw-Hill, 2011. He has also been published multiple times in Technical Analysis of Stocks & Commodities magazine.

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