Some good hints at direction, and need to wait on a confirmation

Hi and welcome to our blog, and our EUR/USD brief

Thursday saw us pick the direction but I wouldn’t have traded it as we had so many support levels lined up. In the end price broke all of them and then tested the weekly pivot. This was a possible entry for us, but I didn’t take it myself. Friday saw the market ease down and then spike up before settling close to where it started.
Context
The picture still remains a bit confused with poor Euro data being balanced by the hope of ECB help for indebted countries. The news remains bad but the ECB has done enough to make traders cautious pf short positions.
Technical Analysis
Daily Pivot swops places with weekly pivot and we now have the perfect bearish formation, with daily below weekly, which is below monthly, and a slow run down looks likely. The Daily pivot has dropped which supports this bearish theory.
The 4 H chart is a little less clear with an inside bar followed by an enclosing bar. This is a timely reminder on a Monday morning that we need to watch and wait and let the market tell us what it wanst to do.
The Day Ahead –
With Daily pivot moving down, if we get a test we are expecting a break and a slow push down.  The pair is especially vulnerable to surprise news at the moment and still needs some caution.
Bias- My overall bias is still short, I am still sure traders looking up to sell the peaks….
 NO TRADE: I am not going to trade today between Daily  and monthly pivot.
Short entry: I would like to see a test of DP, and then a leg down, and a retracement to a lower high for an entry.
Long Entry: I am looking for a beak of monthly pivot and then a test with a higher low as an entry.

All the best
PBT