Nice winner to start out the week. Let’s keep track in 2011…so far, we’re 2 for 2 getting an early move coming back from a 3-day weekend. You have to get those full sized orders in at the start of the session after a Monday holiday here in the US.
See GBPUSD for the trade review and an extra educational section. New calls tonight and chat with three days left in the short week.
EURUSD:
After a big move down, recovered back to even overnight:
GBPUSD:
Triggered short early at A, hit first target at B, and then went flat for the European session and stopped me out of final piece at C. Note the retest of the entry exactly at D and then it rolled over to the tri-star level at E:
Now, let’s discuss this for a minute. At point E on that above chart, I had stated in our Trading lab that we were 9 bars down on the Seeker tool with a big move and hitting the tri-star level, so that would probably be it for the day. Here’s a screenshot about an hour later:
Note that we bottomed out right at that green tri-star level and the Seeker box completed (the box is drawn when it completes) and that was the bottom, just after I had pointed it out. A later attempt to make new lows failed. This is a proper use of the Seeker tool to measure energy exhaustion against key levels.
