Answer to question

I was asked by ForexTime at http://www.myforexdna.collectivex.com/
"Doc Fx, Why was it that you had buy and sell for EUR/USD for Sunday trade."

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As you can see the classic conundrum for any forex investor is getting multiple signals and the difficulty in knowing where the market will go next.

While the economic fundamentals in the long term continue to be bearish for the USD, the temporary relief in Oil prices could make it rebound. However the fall of the financial markets make it weaker.
Setting aside fundamentals, the charts depict resistance around 1.6000 tested twice and could potentially be tested a third time.
Further as can be seen there is a sideways channel between 1.6000 and 1.5300 now since mid March 2008. There is also an upward channel formed since June 2008 and an ascending triangle (continuation patterns). However there is also an evening star formation where the Doji is depicted at resistance level leading to a classic indication of a reversal.
Hence both a buy and a sell trade to hedge and cash in on either scenario no matter which direction the market goes. My sense is the price may hit the upper channel and the tip of the triangle and may bounce back down and reverse in the near term, but I could be wrong.

Hope this clarifies the trades.

Great question.

My trade signals for the day are in the previous post below.