📈 Daily Chart Observations:
The
EURUSD
is currently displaying a high timeframe downtrend.
There's an apparent retracement, as indicated by the Fibonacci tool, offering potential short entries.
Key resistance zones have been identified, suggesting bearish sentiment.
🔍 4-Hour Chart Analysis:
The 4-hour chart shows a more granular view of the retracement towards the significant Fibonacci levels.
Market structure suggests a strong possibility for continued bearish momentum.
Immediate order blocks and liquidity voids are mapped out, pointing to potential entry points.
💡 Trade Idea:
Awaiting a pullback to the 0.75 Fibonacci level for a bearish continuation.
Confluence with a bullish Dollar Index (DXY) can reinforce the setup, indicating EUR/USD may continue to push lower.
Entry will be sought post-retracement, with confirmation of bearish price action at the identified level.
🎯 Targets:
First target set at recent lows.
Extended targets may align with sustained DXY strength, driving EUR/USD further down.
🛑 Risk Management:
Trade invalidation if price breaches above the recent structure high.
Stop losses will be placed considering a buffer above the entry Fibonacci level.
Remember to manage your risk and never risk more than you can afford to lose. This setup is dependent on current market conditions aligning with the anticipated scenario. Happy trading!
🔔 DXY Note:
As the DXY shows signs of bullishness, it correlates with potential weakness in EUR/USD.
Continuous monitoring of the DXY will be crucial to this trade's success.
The
EURUSD
is currently displaying a high timeframe downtrend. There's an apparent retracement, as indicated by the Fibonacci tool, offering potential short entries.
Key resistance zones have been identified, suggesting bearish sentiment.
🔍 4-Hour Chart Analysis:
The 4-hour chart shows a more granular view of the retracement towards the significant Fibonacci levels.
Market structure suggests a strong possibility for continued bearish momentum.
Immediate order blocks and liquidity voids are mapped out, pointing to potential entry points.
💡 Trade Idea:
Awaiting a pullback to the 0.75 Fibonacci level for a bearish continuation.
Confluence with a bullish Dollar Index (DXY) can reinforce the setup, indicating EUR/USD may continue to push lower.
Entry will be sought post-retracement, with confirmation of bearish price action at the identified level.
🎯 Targets:
First target set at recent lows.
Extended targets may align with sustained DXY strength, driving EUR/USD further down.
🛑 Risk Management:
Trade invalidation if price breaches above the recent structure high.
Stop losses will be placed considering a buffer above the entry Fibonacci level.
Remember to manage your risk and never risk more than you can afford to lose. This setup is dependent on current market conditions aligning with the anticipated scenario. Happy trading!
🔔 DXY Note:
As the DXY shows signs of bullishness, it correlates with potential weakness in EUR/USD.
Continuous monitoring of the DXY will be crucial to this trade's success.