Euro staged Tuesday...

As it's expected for today's market, during Asian Session, a minor retracement of EUR/USD happened all the way back to 1.2364 low. Which is still the lowest value of today's market while I'm writing this. After the minor retracement, the Euro bull continued the way up to the top making attempts reaching 1.2400 strong resistance. The retracement were not low enough to attract Euro investors and fearing the highly unbalanced price of Euro, therefore the bull's not stong as uncertainty of the market is still seen during the uptrend.

Trades' placed for the day

Trade 1: Long 10 lots EUR/USD on a small retracement @ 1.2386

Stop: 1.2366

Target: 1.2396

Result: Target reached at 3.44 am EST on Tuesday 25/4/06 ( +10 pip )

Comments: Market were highly unbalanced and were taking a slow pace heading to the 1.2400 goal. The market only gets active and back to favor EUR/USD when the German IFO Business Confidence prior release creating trader's short term interest in the currency boosting it.As the German IFO reported higher-than-expected gain of 105.9 from consensus of 104.7 .

Trade 2: Long 10 lots EUR/USD @ 1.2406

Stop: 1.2386

Target: 1.2416

Result: Target reached at 4.05 am EST on Tuesday 25/4/06 ( +10 pip )

Trade 3: Long 10 lots EUR/USD @ 1.2420

Stop: 1.2390

Target: 1.2430

Result: Target reached at 9.24 am EST on Tuessay 25/4/06 ( +10 pip )

Trade 4: Short 10 lots EUR/USD @ 1.2373

Stop: 1.2395

Target: 1.2363

Results: Position closed at 10.34 am EST on Tuesday 25/4/06 ( -22 pip )

Trade 5: Long 10 lots EUR/USD on an expected comeback @ 1.2415

Stop: 1.2395

Target: 1.2425

Results: Position closed at 11.08 am EST 25/4/06 ( - 20 pips )

Comments on trade 4 & 5: Position closed by stop due to the highly volatile and uncertain market. It was long expected that the Euro will have a major fall and initial signs after the USD Consumer Confidence showed a bear for EUR. For trade 4, the big bear turned out to be a small bear and EUR/USD made an impressive recovery from the 'big bear' and rushed towards 1.24 level again. For trade 5, as I've thought Euro has recovered, I made another order at 1.2415 a level that was well protected before the major fall to secure my position heading towards 1.2425. But it turned back again and hit my stop. At the moment, no clear direction were clearly seen for the pair. I will then switch to buy dips now.

Comments: Market continued to persue higher level reaching top of 1.2416 after the German IFO showed higher-than-expected value. A strong resistance at 1.2416 immediately pushed the pair back to 1.2370 shortly after reaching 1.2416 and somehow stabalized at 1.2390-1.2400 area. New York Session was extremely bullish for as long as 5 minutes at 8.30 am EST pushing EUR/USD to an expected level. It's believed that the German IFO data indirectly influenced these major gain. Within 5 minutes, EUR/USD went up from 1.2398 to a new record high of 1.2433. It retraced slowly back to the 1.2420 area a few pips above the resistance-turned-support for the EUR/USD.

Trades That I'm Waiting For

Trade 1: Long 10 lots EUR/USD on a major retracement @ 1.2190

Stop: 1.2167 ( High-Turned-Resistance level on 12/4/2006

Target: 1.2300

Trade 2: Long 10 lots EUR/USD on a retracement @ 1.2300

Stop: 1.2290

Target: 1.2350 ( +50 pip profit targetted )

A major breakdown of EUR/USD is still expected to happen, but the problem is... when.

Euro zone data release of German CPI at 9.00am EST is reported higher-than-expected data of 0.5 compared to consensus of 0.2. The market showed no reaction to the higher-than-expected data of the German CPI.

USD Consumer confidence is reported higher-than-expected at 109 creating a reversal on EUR/USD. It's about time the pair balances the currency. Expecting it to bear all the way until NY close.