You see, according to the rules of my mechanical system, Stochastic should be between 50 and 20 while the next candle should meet the 30-pip filter. Well, those criteria weren’t met so I was left sitting on the sidelines while EUR/USD dropped like a rock.
Oh well, my HLHB rules may have hindered me from taking a good short trade this time but they have also prevented me from fakeouts and large losses before. Just gotta look at the bright side!
This whole week, the euro has fallen in popularity in a rather Lindsay Lohan kind of way. It seems that after Ireland accepted a bailout last weekend, the focus has shifted to other PIGS (no, not the cute, sheep-commanding one in Babe), more specifically, Portugal and Spain. Many believe that these two are likely to ask for a bailout as well.
Oh I just don’t understand all of this. First the euro jumped when the Irish said they wanted a loan. A simple change of language to the word “bailout” and now the euro is falling over the place? And now we have other countries to think about as well?
I hope Forex Gump writes something about it! The European sovereign debt crisis is just too confusing!