PROPOSITION to LONG on EJ
Technical Reason
1.once the price reaches the Trendline,look out for rejection.
2.there is a demand zone at 119 till 118.70 which suits very well with the trendline.
3.the demand zone also is in between fibo 50-61.8 which increase high probability of price bounce around the above mention area.
Fundamentally
1.the market is still in extreme greed thus weakening all safe haven (chf,jpy).
2.euro will also gain some bullish momentum with the drop of us index.
Risk
1.more downside play will occur should any euro data missess target
2.with us-china trade deal around the corner watch out for any headline.negative headline would trigger safe haven thus making this trade plan invalid.for the time being market is still riding the positive sentimen from last week's sentimen
3.any negative headline regarding euro auto tariff by US would also cancel out this trade
Technical Reason
1.once the price reaches the Trendline,look out for rejection.
2.there is a demand zone at 119 till 118.70 which suits very well with the trendline.
3.the demand zone also is in between fibo 50-61.8 which increase high probability of price bounce around the above mention area.
Fundamentally
1.the market is still in extreme greed thus weakening all safe haven (chf,jpy).
2.euro will also gain some bullish momentum with the drop of us index.
Risk
1.more downside play will occur should any euro data missess target
2.with us-china trade deal around the corner watch out for any headline.negative headline would trigger safe haven thus making this trade plan invalid.for the time being market is still riding the positive sentimen from last week's sentimen
3.any negative headline regarding euro auto tariff by US would also cancel out this trade