5.21 Formation of Consolidation at Various Points
This article is not intended to indicate or recommend buying or selling timing.
Please make your own investment decisions.
The stock market is moving without a clear direction while remaining in a high-volatility state.
Yesterday I wrote an article about a tentative end to the downward trend in stock indices.
I expected a bit more consolidation, but it surged during New York time.
Specifically, it is movements toward the London fix.
Lately, there have been many sudden movements heading toward the London fix, and selling pressure also begins during European hours.
The blue vertical line marks the reversal at the London fix.
The red line shows the trend from the European session onward.
It seems safe to say that Europe is currently driving the market movement.
The reason for publishing this article is the lack of a clear direction in the current price action.
Since it is in the top-range movement, once it breaks down, volatility becomes high and it starts to decline, showing price moves of nearly $1,000 three times, with both scenarios rallying toward the London fix and then retreating, but the price action is gradually shrinking.
The forex market is similarly being pulled along by this flow, resulting in a continuation of directionless movement.
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