Nearly Time To SELL Again For Move To 1.70??This pair looks like it is starting to transition into a longer term downtrend with the formation of lower highs and higher lows on the weekly charts.
Last Month we seen a breakdown that was able to take out the October low at 1.75 and moved lower slightly creating the new low this is indicating that more HTF selling is on the cards and is why I will be looking to sell this pair.
But first here's I want to see price rise up towards and above 1.785 as this is firstly a nice liquidity zone created last month if you look at the daily chart below see how price crashed here last month. (image below)
Also located here is the 50% and 61.8% fib retracement levels from last Months near 800 pip drop 1.785 to 1.80 will be a really good area to look for selling opportunities for the next leg down.
I will be waiting for price to move up and above 1.78 and then looking for evidence of slowing of momentum on the lower timeframes once confirmed will then use my TRFX indicator to look for sell signals on timeframes from the 4hr to the Daily.
Targets for this position will be a new low possibly targeting 1.73 first which should draw some support before heading down towards 1.70.
Stop loss will be above 1.81 depending on where I get in the market.
Hope you enjoyed the read.
