EURUSD's bullish move exhausted. Prep for a short at the 38.2%
Multi Timeframe Analysis
My trading philosophy: We don’t short at the lowest of the bearish momentum nor do we long at the peak of a bullish impulse. The safest entries are at the end of a retrace in the direction of the D1 master trend.
Recommendation:
EURUSD struggled to breach the 1.18828 price level corresponding to the 61.8% fibonacci retrace.
Due to continued additions of shorts on the EURO by institutional traders plus the strengthening of the USD from recent news releases, EURUSD suffers a bearish trajectory on the daily time frames.
As the daily downtrend looks forthcoming, I’m looking at short opportunities
Entry rule: 4H chart should confirm that the bullish retrace had turned bearish with MACD below zero and the price going below the 10 and 20 EMA. For good measure, check that the 4h and D1 RSI dropping below the 50 signal line
Potential Entry
For highest probabilities, take a short at 1.18172 which coincides with the 38.2% fibonacci retrace. Ensure that you confirm the entry with the rules stated above
My trading philosophy: We don’t short at the lowest of the bearish momentum nor do we long at the peak of a bullish impulse. The safest entries are at the end of a retrace in the direction of the D1 master trend.
Recommendation:
EURUSD struggled to breach the 1.18828 price level corresponding to the 61.8% fibonacci retrace.
Due to continued additions of shorts on the EURO by institutional traders plus the strengthening of the USD from recent news releases, EURUSD suffers a bearish trajectory on the daily time frames.
As the daily downtrend looks forthcoming, I’m looking at short opportunities
Entry rule: 4H chart should confirm that the bullish retrace had turned bearish with MACD below zero and the price going below the 10 and 20 EMA. For good measure, check that the 4h and D1 RSI dropping below the 50 signal line
Potential Entry
For highest probabilities, take a short at 1.18172 which coincides with the 38.2% fibonacci retrace. Ensure that you confirm the entry with the rules stated above