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

Verified Profitable Trader

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

For more info on how to trade price action, get access to the traders forum, lifetime membership & a lot more, make sure to visit my price action course page.

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.

Upcoming Economic Announcements:

AUD Consumer Prices Index (YoY) 01.30GMT 21.30EST
EUR German IFO – Business Climate 08.00GMT 04.00EST
GBP Gross Domestic Product (YoY) 08.30GMT 04.30EST
USD New Home Sales 14.00GMT 10.00EST
NZD Reserve Bank of New Zealand Rate Decision 21.00GMT 17.00EST

Make sure to read my newest article 2 Key Clues to Understanding Support and Resistance 

Want More? My private members get all my trade ideas & market commentary 4x per week. Click here to become a member.

Related Article