As we can see with the pair, price has been moving in a bullish direction for several day. The current price behaviour seems to suggest that we might be in for a short term
bearish correction. Price is showing signs of exhaustion shown by a potential break of market structure which further suggestion a change from a bull to a bear market in the
short term. By looking at the Daily chart we can see a double top pattern formation and when we drop down H4 chart, this pattern becomes much more clearer. We can also
see a long bearish pin bar pattern which formed around the high of the current month. With that be said, we will be waiting for price to breakout and close below our key level
as confirmation of the trade setup .Once this breakout occurs we will than wait for the retest of this key level before looking for any entries. Our target area is located around
the low of the previous month of Feb. The potential risk reward for this particular trade currently stands at around 5.33 to 1. We plan to hold this until target is reach or until
price behaviour suggest otherwise and close the trade manually as per our trading plan.
bearish correction. Price is showing signs of exhaustion shown by a potential break of market structure which further suggestion a change from a bull to a bear market in the
short term. By looking at the Daily chart we can see a double top pattern formation and when we drop down H4 chart, this pattern becomes much more clearer. We can also
see a long bearish pin bar pattern which formed around the high of the current month. With that be said, we will be waiting for price to breakout and close below our key level
as confirmation of the trade setup .Once this breakout occurs we will than wait for the retest of this key level before looking for any entries. Our target area is located around
the low of the previous month of Feb. The potential risk reward for this particular trade currently stands at around 5.33 to 1. We plan to hold this until target is reach or until
price behaviour suggest otherwise and close the trade manually as per our trading plan.
Comment:
Price is approaching our key level. We will soon start looking for entries
Trade active