After completing a bullish reaction cycle on the August 8th reversal date, September Eurocurrency has been in a downward price swing. The euro has posted two consecutive higher closes following several closes below the 20- day EMA. The corrective rally appears to be a bearish reaction swing and could be forming a new sell pattern. A trade below the August 13th pivot low would confirm the bearish reaction swing and complete a longer-term TR pattern sequence. This price action would portend a downward price swing into the next reversal/reaction date projected for August 27. Check the latest issue of the Traders Market Views – Swing Trading Report for current trade recommendations.
