EUR/USD – Falling Back Towards Buy Zone
In the past couple of hours we have seen EUR/USD start to fall back towards the buy zone which caused the upswing to take place yesterday afternoon. The fact the upswing caused by the market entering the zone has not been very big, is a signal that the banks may not have used the zone to get more buy trades placed into the market Meaning if we see the market fall back into the buy zone later on tonight or tomorrow, it could end up being broken or it may only cause a small reaction to occur which would come to an end soon after starting.
If we see the market fall through the buy zone I suggest watching for entries short in the demand zone I’ve drawn from yesterday’s and today’s highs, as these highs represent the most recent points in the market where the bank traders might have got short trades placed, albeit smaller ones than what they’ve got placed at the highs marked by the blue supply zone inside the daily supply zone. If the market falls into the zone and causes another move higher to take place, similar to the one we saw yesterday,