The EURO FX Futures Starting to Consolidate
Today, the Euro FX Futures is pulling back. So far, the price action has yet to test the support zone on the daily chart. I lean towards that the market will get down there. However, I continue to expect higher prices because the recent extreme daily RSI readings are above 62. A trading range will be signaled once the RSI forms a pivot high on the RSI below 62.
The Aggregated TradeFlow chart is set to 5-ticks range (available in CQG 7.5) with my two custom studies plotted (both studies are set to five-bar look back periods). The market formed a short-term double top at the resistance zone. Now the market is testing the first support zone. The TFUmTFD study is indicating some buying relative to the selling by the histogram bars turning up (the arrow). However, both the buy (green) and sell (red) volume lines of the TFCross study are heading down, which indicates both buyers and sellers are backing away.
This morning’s snapshot view of the TradeFlow Chart for the EUR/USD has both studies set to a five-bar running sum. In addition, the CQG ChartTrader is attached. I have the CQG Order Ticker below the chart.
Currently, the market is edging higher after some selling was absorbed. We can see the selling pressure by the sell volume line (red) climbing over the buy volume line (green) of the TFCross study. We can see that the sellers could not gain control and they will likely have to cover.
The TradeFlow view of the market can change very quickly.