I haven’t done any market commentary for a while as I’ve been so busy with some projects.
Me and another war room member were discussing this potential breakout setup on the EURUSD ahead of NFP.
We can see easily that this market is bearish right now, making lower lows and lower highs. We’ve just bounced off a swing lever where a a bearish outside candle reversal signal formed (didn’t get an entry).
After the move down from the swing level the market has paused and created a bearish body inside day.
Depending on how the NFP volatility drives the market, a bearish move could mean a drop down towards the weekly support of 1.079 there marked on the chart.
A breakout order closer to NFP could be the way to go here, to avoid getting caught in any fake out moves before the event.
However, it is NFP, and things can get volatile. It is up to you if you have the risk appetite for this, but the price acton technical tell us a down move would be likely.
Steve Epperson
Hope you don’t get tired of me thanking you. Apparently I need to start looking at my fundamentals alongside my technicals. There have been several setups of late where you have taken news events into account. Again, thanks for the heads up.