Yesterday we theorize 2 possibilities for the market to go bearish on EURUSD. Now we have the first possibility invalidated, meaning that the price may look for our second possibility. We have to wait for the price to retest and it hasn't retested the resistance yet, so it could be a good opportunity to sell. I have also placed the reason why I think it will retest. There's an ideal bullish AB=CD pattern with 0.782 : 1.27 ratios. So the zone is very similar between 1.0703 and 1.0710. We just have to wait and we have 2 targets. The proper M pattern TP which is the 1.06419 and the other target will be the rising wedge target (remember that our analysis on the second possibility is also based on the rising wedge.
For the moment, we discard the possibility 1, although we will save that zone as there was some ratios that can mean something in the future.
For the moment, we discard the possibility 1, although we will save that zone as there was some ratios that can mean something in the future.
Trade active:
Trade activated.
