A week ago, I have closed my longs on this pair, a great trade. I believe now, it is time to short.
The weekly chart shows a double top,
not yet confirmed, but I always like to play in anticipation, and the daily chart offers enough for a short. There is a bearish divergence on the histogram (today's closing price will confirm or infirm it) and a kangaroo tail (that candle that sticks out). I understand that the dollar remains bullish on the longer term, so I do not want to get ahead of myself and call for a massive breakdown in this pair. However, 1.085 is very likely to be tested. That is where we have the weekly Wave, a trend line which I wouldn't normally consider but this one is perfect, and decent daily support. However, proper support stands at 1.06, so that is highly probable too. Taking profits is going to be very very hard on this pair. However, like Livermore puts it in his book, the line of least resistance is down for the coming weeks.
The weekly chart shows a double top,