EURNOK 4H 375pip SELL - For week starting 29.3.2021

FOREXCOM:EURNOK   Euro / Norwegian Krone
What's up please comment what I can do better.

I have spotted a smaller head and shoulders pattern (0vert last 8 days) forming on the a pull back of the EURNOK downtrend which began this time last year. The 1D trend line (orange) was recently broken up and then back down, the most recent wick up failed on the 25th and lost momentum suggesting a considerable number of swing buyers have left the market, allowing the selling pressure to increase. The 100ma is in our favour as well as the TDI indicator which is turning bearish overall.

We're looking for solid confirmation of the neckline and the 100ma being broken (especially whichever comes last) before we enter this as price could simply be ranging irregularly and catch us out. Be careful entering this on Monday as there's more fakeouts at market open. If you get in this trade around the entry shown on my screen, I would set: TP1: 50pip TP2: 90pip at fib level 1.000 meeting the yearly low and TP3 at 375pip @ fib level 1.618. We're likely going to see a rejection of fib level 1.000 so make sure you break even at tp1. SL at 40-60pip.

If we hit TP2 definitely keep a runner as we're on a downtrend and want to see monthly and yearly lows broken.

Be careful my slimes

Vince / Vmoney