Wheneve I see A divergence between eurusd and usdjpy, I scratch my head.why would doller performs differently in these two pairs. Currently euro could collapse and could as well continue its correction higher, I do not have I clear picture, but what I know is that Shorting near resistence level is safer than buying from support, because even if we are wrong we could manage that short position later either by covering this short until price retrace, or by even selling it again higher. From my experience with euro in the last year, covering your shorts is much easier than getting rid of a losing long position when the price collapse and never look back again. Remember again what happend with the 1.3000,1.2000,1.500, where the price slipped and never looked back again.
And remember fundamental figures means nothing to the retail traders, because what matter is how big boys do interpret them. Something we can never know untill we see price action which is normally delayed one or two days after the release, when most retail traders trapped with their simple interpretation of the fundamentals.
I do not want yet to run into the conclusion that the bad NFP could be interpreted by the big boys as a result of weather , and therefore a better level to reload their short, but from price action and the fast recovery of usdjpy I am considering thishypothesis. Anyway tomorrow price action during London session would make things clearer.and if London session sold the euro, expect NY session to follow.
And remember fundamental figures means nothing to the retail traders, because what matter is how big boys do interpret them. Something we can never know untill we see price action which is normally delayed one or two days after the release, when most retail traders trapped with their simple interpretation of the fundamentals.
I do not want yet to run into the conclusion that the bad NFP could be interpreted by the big boys as a result of weather , and therefore a better level to reload their short, but from price action and the fast recovery of usdjpy I am considering thishypothesis. Anyway tomorrow price action during London session would make things clearer.and if London session sold the euro, expect NY session to follow.