### EURUSD SHORT
I've been closely monitoring the EUR/USD pair on the 2-hour chart and have identified a promising short setup based on the Elliott Wave analysis. Here’s my plan for executing this trade:
- **Entry Point:** I'm planning to enter a short position around the current price level of 1.08297 USD. This is a strategic entry point as it marks the end of wave (3) and the beginning of a corrective wave (4).
- **Targets:** My first target is set at the 38.2% Fibonacci retracement level of the recent upward move, which is around 1.07922 USD. This level often acts as a significant support during corrections. If the price continues to decline, my next target is the 50% Fibonacci retracement level at 1.07764 USD. This deeper retracement could provide a more substantial profit.
- Stop Loss: To manage risk, I will place a stop loss slightly above the high of wave (3), around 1.0855 USD. This stop loss level ensures that I'm protected if the market moves against my position while allowing for normal market fluctuations.
- Trade Management: I will keep a close watch on the price action as it approaches my target levels. If there are signs of strong support at the 38.2% level, I might consider taking partial profits and moving my stop loss to break even to secure gains. If the price continues to the 50% level, I'll look to adjust my stop loss to lock in profits.
This trade setup is based on a clear Elliott Wave pattern and offers a favorable risk-reward ratio. By following this plan, I aim to capitalize on the expected downward correction while managing risk effectively.
I've been closely monitoring the EUR/USD pair on the 2-hour chart and have identified a promising short setup based on the Elliott Wave analysis. Here’s my plan for executing this trade:
- **Entry Point:** I'm planning to enter a short position around the current price level of 1.08297 USD. This is a strategic entry point as it marks the end of wave (3) and the beginning of a corrective wave (4).
- **Targets:** My first target is set at the 38.2% Fibonacci retracement level of the recent upward move, which is around 1.07922 USD. This level often acts as a significant support during corrections. If the price continues to decline, my next target is the 50% Fibonacci retracement level at 1.07764 USD. This deeper retracement could provide a more substantial profit.
- Stop Loss: To manage risk, I will place a stop loss slightly above the high of wave (3), around 1.0855 USD. This stop loss level ensures that I'm protected if the market moves against my position while allowing for normal market fluctuations.
- Trade Management: I will keep a close watch on the price action as it approaches my target levels. If there are signs of strong support at the 38.2% level, I might consider taking partial profits and moving my stop loss to break even to secure gains. If the price continues to the 50% level, I'll look to adjust my stop loss to lock in profits.
This trade setup is based on a clear Elliott Wave pattern and offers a favorable risk-reward ratio. By following this plan, I aim to capitalize on the expected downward correction while managing risk effectively.
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.