Wednesday, August 1, 2012

More Confirmation?

These are ETFs so when you see divergences in them, even though they are based on FX that trades 24 hours, the move is usually the next day. Lets take a look at UUP vs FXE or the $USD v the Euro, a strong Euro is a strong market, a strong dollar is a weak market, pay attention to the timeframes, I'll "A-B" each.

 $USD 3 min is negative-very short term trade.


 Euro 3 min is positive, again very short trade/trend

 $USD 5 min is neutral with slight negative


 Euro 5 min is neutral with a slight positive

 $USD 15 min large positive divergence-longer trend, more important timeframe.

Euro 15 min is leading negative-again, stronger trend and important timeframe. This seems to confirm pretty much all of the recent posts

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