The second Cover high was the Wave 5 up. One of the weakest echos I’ve seen. My thinking is a volatility whip back up to the right shoulder’s hight (1.1035+, could go a bit higher than the 1.1064 echo high as well but I don’t think it would likely not get to the 1.1149 swing high ) before the Wave 1 down.
So my plan would be matching the short holdings around 1.1030 or even earlier if I see 3 failures before that, then building a short holding the higher price gets.
This unraveling of Euro long holdings would have a long long way to go down.
The “dollar peaked” theme on Bloomberg was shining bright inside my ear today. That’s the honey trap.
You would be right to tag along. For 77-90 pips that is.
ForexFore - Internals, indicators, algorithmic trading 