By: Doug Rosen
It has been quite a week for this pair mostly due to the actions of the ECB. Price came all the way down to the weekly 144 ema then all the way back up to the weekly 5 ema. At this time, the weekly candle is a doji. It will more than likely close as a doji since this is the day of the Non-Farm Payroll and most of the time, in the hours preceding the NFP price action can be very thin since most traders are waiting for the report to enter into positions.
On the daily time frame price is riding down along the 21 ema.
On the 4 hour time frame it is clear that price has leaked its way out of the trap it was in but it leaked out and not broken out. For over a week now price has stayed just below the 144 ema, price has touched the 144 several times but has not broken out of it. This just goes to show you the power of the 144 ema. Each time price touched the 144 you could have easily entered a short each time and made pips on this pair. I would also like to point out that the weekly central pivot point has also been within the same vicinity of the 144 and that also goes to show the importance of observing confluence.
On the hourly time frame it is obvious price is range bound and will probably be that way throughout the course of the day.
On the 15 minute time frame the ema's are all bunched together so no real volatility exists for this pair at this moment.