- I've been stalking this trade for a while, and everything for a downside scenario has finally come together.
- We've formed a pretty clean head and shoulders pattern right at the top of a multiyear wedge.
- This pattern is strengthened by a break of the trend line from July, but will be confirmed by a break of the neck line at 1.59. This also happens to be the 0.236 Fibonacci retracement from the July rally.
- If this follows through, my targets are the 0.382 & 0.618 retracements depending on how fundamental factors play into continuation to the downside. Both of these levels fit quite well into previous important support and resistance.
- There is a decent chance of this correcting back up to 1.61-1.612 before continuing downward, but I'll look to sell any rallies.
Cheers
- We've formed a pretty clean head and shoulders pattern right at the top of a multiyear wedge.
- This pattern is strengthened by a break of the trend line from July, but will be confirmed by a break of the neck line at 1.59. This also happens to be the 0.236 Fibonacci retracement from the July rally.
- If this follows through, my targets are the 0.382 & 0.618 retracements depending on how fundamental factors play into continuation to the downside. Both of these levels fit quite well into previous important support and resistance.
- There is a decent chance of this correcting back up to 1.61-1.612 before continuing downward, but I'll look to sell any rallies.
Cheers
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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.