Forex Trading Commentary
Daily Forex Trading Commentary, Price Action Trade Setups & Signals by Nial Fuller
Trading Setups / Chart in Focus:
S&P 500 – S&P sells off, bearish momentum takes hold
The S&P 500 sold off aggressively today following multiple recent failed attempts to extend the uptrend. We can see the price action has acted as a leading indicator yet again, cluing us into this potential move lower, and now that we have some ‘confirmation’ via today’s strong sell-off, we have to consider that at least a short-term top could be in place here. Thus, if we get a retrace back up to resistance, we can watch for price action sell signals. However, we would also be tempted to consider a buy signal should one form from a key support level.
EURUSD – Euro/dollar bearish bias remains
The EURUSD consolidated today, forming an inside bar in the process. Our outlook hasn’t changed on this market; looking for a sell signal, ideally after a rotation back to resistance either in the 8 / 21 day EMA layer or from a horizontal level / up near 1.3480 – 1.3500 area, to trade in-line with downtrend.