During the previous trading day, a deeper corrective pullback was expected. However, the buyers had a different perspective. Their sharply increased activity led to a price rise, updating the previously established local maximum and bringing it close to the highest point in June.
It’s likely that during the day, this peak will be surpassed, and just ahead lies the year’s maximum, where many protective stop loss orders are set. Their activation will lead to a strong upward movement. However, before this happens, the price will likely make a pullback, forming a corrective wave.
Therefore, opening new buy positions is not recommended at this time. If purchases were made based on yesterday’s recommendation at the breakout of the local maximum, those positions should be maximally secured by moving the stop loss closer to the current market price.
Investment idea: flat.
Origin: FreshForex
