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Low volatility for EUR/GBP

By Doug Rosen
Doug Rosen is a Florida-based Forex trader who became a skilled technical trader through 3 years of intense practice and self-teaching. He now coaches a live trading room and analyzes the market on forextradeplans.com.

By: Doug Rosen

The EUR/GBP appears to me that it is on its way upside. On the weekly time frame the 5 ema has flattened out and price seems to be pushing above it.

EUR/GBP Weekly 12/5/11

On the daily time frame the 5 ema is beginning to cross above the 13 ema. The last few days this pair has been making a series of higher highs and higher lows. I can see price on the daily time frame heading up to the 55 ema at around .8640

EUR/GBP Daily 12/5/11

On the 4 hour time frame it is extremely obvious price has been making a series of higher highs and higher lows and riding its way up the ema's. The next stop will be the 233 ema around .8620 just a few pips above the monthly M3 at .8612

EUR/GBP 4 Hour 12/5/11

On the hourly time frame price is in the midst of a price trap. Nothing to do in this area but to wait for it to reach the top or bottom. The top of the trap coincides with the weekly R1 at around .8633 This appears to be a realistic area for price to travel to until it reaches some resistance.

EUR/GBP 1 Hour 12/5/11

Watch for price to bounce down somewhere in between .8630 - .8640 This pair is not correlating with other pairs this day and I expect a thin market the first trading day after the Non-Farm Payroll.

Doug Rosen
Doug Rosen is a Florida-based Forex trader who became a skilled technical trader through 3 years of intense practice and self-teaching. He now coaches a live trading room and analyzes the market on forextradeplans.com.

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