Optimism is back ...

As you can tell from the title, risk sentiment has taken a bit of a positive turn and we had a ton of traders caught on short covering. If you had followed my previous post, I left off with a short position on the Aussie dollar targeting the 1.065 area. However, the better than expected jobs report knocked out my trailing stop, then proceeded to hit target (rat bastard!). The market is a tough mistress to tame.

Optimism has returned with some positive news suggesting Greece will get the money after all; surprise, surprise.

For this evening I watched for bid setups on the Euro. I picked out the EUR/GBP for this. After positive UK data, the pair took a dive into the 0.829 area. At this stage it looks like a nice bear trap has been sprung. You can see from the chart we have a inside bar fake out setup. Aggressive trader that I am, I have taken the trade with a long position in EUR.

We'll see where we are at before market close (if the American session hasn't stopped me out). Good luck for the last 24 hours and we'll chat again next week.