SELL EURUSD ON 4H CHART

SELL EURUSD ON 4H CHART
The 5 minute chart of the EUR/USD Forex market rallied strongly on Friday but sold off overnight. There was a 6 hour trading range early in today’s session, a 20 pip bear breakout, and now a 2nd trading range. Today is therefore so far a Bear Trending Trading Range Day.

While it is a bear trend day, most of the time has been within trading ranges. This trading range price action usually limits how far the day will go from this point.

The bears want another leg down. But today has already retraced half of Friday. Also, today’s bars are small and the 2 trading ranges were only about 10 pips tall. That reduces the chance of much lower prices.

The bulls would like a reversal back up into the upper range. Today would then be back at last week’s high. That would increase the chance of triggering the weekly buy signal today or tomorrow.

With the small bars and tight ranges today, today will probably not go far up or down. There is a chance of a brief 20 pip breakout up or down. Day traders will scalp unless there is a surprisingly strong breakout, which is unlikely.