as expected, we have now clearly taken out the S1 minor support level on the EUR/USD although i believe that the candlestick on this time frame won’t close until 4pm EST, along with the equity market close so we’ll have to wait until then for confirmation. with just under 3 hours to go, the rest of the day should be interesting. although we just recently finished a very impulsive downside rip on the 1 min charts which virtually mirrored yesterday’s end of day upside rip, the big question is whether or not the buyers will step in to do the same again today or will the sellers take control this time. honestly, i try not to put too much stock in the intraday swings of the market unless i am daytrading. as of now, i continue to scale into short positions for what i believe will be at least a temporary correction (targets on the recent 60 min index charts) which might provide a nice chance to re-enter some of the recently long-side breakouts that have now become near-term overbought and aren’t offering a very good R/R entry at current level. however, the possibility that the next correction could morph into a much larger downtrend can not be ruled out until we see how things play out. i’ve also included a string of 2 min index charts highlighting yesterday’s end of day rip, which continued into the gap up today, along with today’s counter-punch by the sellers. if my read is correct, we should soon get another thrust down today which will likely take out yesterday’s lows and maybe then some. just remember that friday is OPEX (options expiration day) so brace yourself for potential volatility in either direction. with the VIX/expected volatility moving higher recently, i’d say that the odds are good that a lot of stops are going to be run in the next 2 days.