Hi guys,
i'll briefly explain why i'm shorting this pair. The black line that you see represents a 4hr structure level; the yellow box represents the reversal zone based off of the daily chart. As the price reached this two level it started to slowing down. In addition, it gave us some signals that maybe wants to go lower: the first indecision sign is provided by the pinbar that you see highlighted with the red arrow, and it's also been followed by a red candle that closed below the previous opening. Also, the level lines up pretty well with the 618 retracement of the impulsive move down.
Rsi divergence tells us that the upward momentum is running out of fuel.
Stops above the highs, target1 at the 382 retracement of the previous move, target2 at the 618.
If you want to share your idea about this or simply ask questions, feel free to comment below.
Otherwise, see you in the next chart!
i'll briefly explain why i'm shorting this pair. The black line that you see represents a 4hr structure level; the yellow box represents the reversal zone based off of the daily chart. As the price reached this two level it started to slowing down. In addition, it gave us some signals that maybe wants to go lower: the first indecision sign is provided by the pinbar that you see highlighted with the red arrow, and it's also been followed by a red candle that closed below the previous opening. Also, the level lines up pretty well with the 618 retracement of the impulsive move down.
Rsi divergence tells us that the upward momentum is running out of fuel.
Stops above the highs, target1 at the 382 retracement of the previous move, target2 at the 618.
If you want to share your idea about this or simply ask questions, feel free to comment below.
Otherwise, see you in the next chart!
Note
Pay attention this is a counter trend trade, if you want to be more conservative, you could wait for the break of this ascending channel on the hourly chart:Note
Price broke the trendline, so you could wait and see how price reacts now, if it holds the next candle, you can short:Note
Nice rejection two times:Note
Beware of the Draghi's speech coming in 30 minutes, i'm going to watch closely to price action during that conference.Note
Draghi's conference will be at 16:30, sorry for the mistake.Trade closed: stop reached
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.