Market is targeting recent low at ~1.113 level. Previous test as seen from the chart led to a surge to the upside in only one candle, but could not hold these higher price points with the market pushing back down lower to this support level
. Another significant test is the dragonfly candle seen thereafter. We will be looking to see the market break down below this 1.113 level and HOLD below it for at least 1 or 2 candles. We will then be in a position to look for entering shorts on the pullback with target prices as indicated - relating to significant support levels on both 4H and daily charts
. We will endeavour to move stops to break-even should the trade move into profit and indicate signs of moving lower. Stops will be placed above recent highs above red lines (did not want to draw the actual resistance level
as it is clear based upon the two points shown but would cut across a lot of price action and make the chart look more cluttered).