Good morning Traders!
DEFINITION of ‘Whipsaw’
A condition where a security’s price heads in one direction, but then is followed quickly by a movement in the opposite direction. The origins of term is derived from the push and pull action used by lumberjacks to cut wood with a type of saw with the same name. (Investopedia)
A shortened simple report today as I have to be up at 6am for work, a rare, very rare time for me… perhaps I will finally catch a Dax open. Maybe it will actually encourage me to do this more often. Wayne, Jeremy, Jamie, if you’re reading this, you’re probably nodding your heads saying “too right, get up you lazy ass”. You’d be right. If it causes me to catch some points of an early move, i’ll be hooked #bopdrop
So yesterday was a challenging day for bulls as recent price movements over the past couple of days was confirmed as merely a pullback into resistance. The rapid sell off could be attributed to low volume pockets, or gaps closing, or trend continuation, but whatever caused it, the results benefit many traders yesterday.
There are encouraging signs coming out from China which should relieve some of the economic concerns of late, Oil seems to be causing its own waves and the dollar perhaps took a bit of a hit in the second half of trading yesterday, although I am really only looking at the EURUSD.
Difficult to look any further than bearish for today. Good risk:reward ratios for short setups are difficult to find from current levels, but 9930 could be an interesting entry. I am unlikely going to be trading very much, except for possibly a EURUSD short soon.[wp_ad_camp_1]
No support & resistance today, my server is lagging and I am impatient. Back as normal tomorrow.
Good luck trading guys