EUR/USD has cleared liquidity above a key resistance zone, presenting a strategic sell limit setup. This move indicates the market has likely trapped buyers and may reverse downward.
Key Observations:
Liquidity Sweep: Price spiked above a critical resistance level, triggering stop-losses and trapping breakout buyers.
Market Structure: Bearish rejection candles and fading upward momentum suggest a potential reversal.
Optimal Entry: A sell limit at [specific price level] aligns with the liquidity grab and anticipated downside move.
Trade Plan:
Entry: Sell limit at [specific level], targeting a reversal from the liquidity zone.
Stop Loss: Above the recent liquidity sweep to account for volatility.
Take Profit: Targeting support levels around [specific levels] for a favorable risk-reward ratio.
Risk Management:
This setup leverages the liquidity grab for a high-probability trade, but strict risk management and proper position sizing are essential. Monitor price action for confirmation of bearish momentum.
Key Observations:
Liquidity Sweep: Price spiked above a critical resistance level, triggering stop-losses and trapping breakout buyers.
Market Structure: Bearish rejection candles and fading upward momentum suggest a potential reversal.
Optimal Entry: A sell limit at [specific price level] aligns with the liquidity grab and anticipated downside move.
Trade Plan:
Entry: Sell limit at [specific level], targeting a reversal from the liquidity zone.
Stop Loss: Above the recent liquidity sweep to account for volatility.
Take Profit: Targeting support levels around [specific levels] for a favorable risk-reward ratio.
Risk Management:
This setup leverages the liquidity grab for a high-probability trade, but strict risk management and proper position sizing are essential. Monitor price action for confirmation of bearish momentum.
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.
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.