Here's a breakdown of the EUR/USD sell setup illustrated in our chart
Technical Analysis Summary:
Pair: EUR/USD
Timeframe: 1-hour (1h)
Current Price: ~1.14157
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Key Patterns and Zones Identified:
1. Bearish Wedge (Top Left):
A wedge is drawn showing potential exhaustion in bullish momentum.
Typically, a bearish wedge indicates a trend reversal or correction to the downside.
2. Resistance Zone (~1.14546):
Clear resistance is identified, marking the area where price struggles to break higher.
Currently, price is approaching this resistance again.
3. Ascending Channel (Green Zone):
Price has been trading within this channel for several days.
A break below this channel could confirm a shift in trend direction.
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Trade Setup:
Sell Bias: Anticipation of a bearish breakout from the ascending channel.
Trigger: Confirmation of break below the lower channel boundary.
Downside Targets:
Target 1: 1.13110 — possible support level.
Target 2: 1.11588 — deeper retracement/support.
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Trade Plan (Example):
Entry: Wait for a break and close below the channel support.
Stop Loss: Above recent swing high (near resistance, around 1.14546).
Take Profit 1: 1.13110
Take Profit 2: 1.11588
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Considerations:
Watch price action near resistance and channel support for early signs of rejection or breakout.
Confirm with indicators (e.g., RSI divergence, volume, moving averages) if available.
Be cautious of false breakouts, especially during low-volume periods.
Technical Analysis Summary:
Pair: EUR/USD
Timeframe: 1-hour (1h)
Current Price: ~1.14157
---
Key Patterns and Zones Identified:
1. Bearish Wedge (Top Left):
A wedge is drawn showing potential exhaustion in bullish momentum.
Typically, a bearish wedge indicates a trend reversal or correction to the downside.
2. Resistance Zone (~1.14546):
Clear resistance is identified, marking the area where price struggles to break higher.
Currently, price is approaching this resistance again.
3. Ascending Channel (Green Zone):
Price has been trading within this channel for several days.
A break below this channel could confirm a shift in trend direction.
---
Trade Setup:
Sell Bias: Anticipation of a bearish breakout from the ascending channel.
Trigger: Confirmation of break below the lower channel boundary.
Downside Targets:
Target 1: 1.13110 — possible support level.
Target 2: 1.11588 — deeper retracement/support.
---
Trade Plan (Example):
Entry: Wait for a break and close below the channel support.
Stop Loss: Above recent swing high (near resistance, around 1.14546).
Take Profit 1: 1.13110
Take Profit 2: 1.11588
---
Considerations:
Watch price action near resistance and channel support for early signs of rejection or breakout.
Confirm with indicators (e.g., RSI divergence, volume, moving averages) if available.
Be cautious of false breakouts, especially during low-volume periods.
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.