Euro Weekly Coil

Posted by Bruce Levy on

One of the problems with trading the longer term charts is timing, and waiting for the right opportunity. 

It appears the euro is now trading on the prior lows once again after rejecting the highs.

While my crystal ball is giving me no specific market direction it is telling me that more likely than not a coil with a downleg from higher prices is a bearish sign.

In addition, the volume zones are telling me that we are likely to see a quick and decisive move out of this area. 

It looks like price traded quickly through the low volume zone, consolidated and got rejected. It now is finding support above prior high volume trading range. However, I expect it not to spend much time here for long.

It is likely we will see price test the lower high volume trading range sometime soon. 

 

Scenario:

A strong weekly support leg inside the high volume zone could be very bullish.

A close into the lower high volume zone could result in price collapsing to the other side of the range quickly.

 

All this and more explained in my course, as well as my book on volume profile analysis. 

1 comment


  • Euro breaking out to the downside overnight on this coil pattern https://gyazo.com/687fc7dc68b1f8bc10531a15fd704635

    Bruce on

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