Price Action Setups – Kiwi Inverted Pin Bar + Range Break – July 24th

After forming a virtual maribozu on Monday, the Kiwi formed an inverted pin bar which pulled handsomely back to the daily 20ema, rejected and closed just off the lows.  The interesting thing about this is how it also broke the stalemate and the 1-mos range lows in the process.

I think once the pair clears the 7800 area, that further losses are in store – likely down to 7650 which if this yields, then the yearly lows around 7450 are on deck.  Intraday pullbacks towards 7860 and 7918 are good locations to sell rallies intraday.

inverted pin bar price action july 24th

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Global Market Commentary:
Greece, Spain and Pain…what more else do you need to know?  The Moody’s downgrades have more of a negative effect, not so much on a belief in Moody’s, but moreso in how investors take this as a negative on the entire EZone, and how the strong countries feel like the weight of the insolvent countries PIIGS, are hurting their stable economy.

Meanwhile, German and French PMI figures disappointed while the Richmond Fed printed its worst number since April 09 and Treasury Yields tumbled to all time lows (wait, there is more), 30Y GGBs have tumbled to record lows while the Troika said Greece will miss their deficit reduction targets (surprise there).  All this while Spanish yields hit over 7.6%.  The problem is both the insolvency of these countries while having markets that have been artificially propped up.  Eventually, this will come home to roost.

The Dow dropped 104 pts while the S&P 12pts.

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Buddhist, Trader and Philanthropist

I'm Chris Capre, Founder of 2ndSkiesForex. I help traders of all levels change the way they think, trade and perform. As a professional trader, I specialize in trading price action. As a teacher, my passion lies in showing you how to re-wire your brain for successful trading. Want to improve your edge right now? Visit my Price Action Course page.

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