Last two days of last week brought a chaos to the market. Let us not go into analytical details that would explain such behavior, we are just stating the obvious. On Thursday the market was persuading us that the correction towards ascending trend is over, and on Friday as if it recovered its wits it went down.
Now it turns out that EURUSD pair gave us full opposite bear absorption, but without updating last day’s minimum.
The price refreshed its minimum on pound sterling, but it came back to the opening price on Thursday, which does not make a bear absorption of Friday complete.
Similar situation is observed in the US with other pairs- there is no clear signal for continuation of correction (or development of descending trend), but Friday mixed bull’s plans. Thus the market can go into consolidation. Which is quite logical. There are no new ideas on the market, the financial year is over in many Western countries, so the consolidation is possible, there is only one question: what is the width of the diapason of the consolidation?
Gold looks pretty good next to dollar’s growth. Friday fall of quotations for precious metal did not exceed 1/3 of previous growth. One should not buy just yet because it is necessary to wait for deployment of the market, neither one should sell the gold in hope that it will catch up with the market.
So one should not trade at all the first half of Monday.Social button for Joomla