Feb 14: Forex Trading Commentary:

With the daily, hourly, and 15 minute charts for the pound all showing downward price action, according to the 89 and 144 EMAs, it was logical to expect further erosion in price coming into today's session. That we got after the London open, facilitated by negative divergence on MACD. Further, today was declared an M1/M3 day, by virtue of the close at midnight ET being lower than the open 24 hours earlier. It's interesting to note that the 'Jeff Hughes trade' was also helpful in nailing the collapse in price that occurred shortly after 4 am ET. The 10 EMA punched down through the 80 EMA (read, 40 smoothed) on the 5 minute at 4:15 am ET, whilst STO (Stochastic) on the hourly went from being slightly overbought to trending down.

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