Hi guys,
nice opportunity here on EURUSD. Price is pressing against a daily & 4hr structure level that seems to hold. We can say that simply by looking at the chart itself, price action creates a first low (at a psychological level) and then when it comes to retest it, it fails to create a new low and insted sets an equal low. This is the first sign that price isn't strong enough to break that level and we can assume that maybe its the starting point of a change in the direction of this market.
When i see situations like this i start gathering different clues of my viewpoint in order to increase the likelihood of the trade.
That's why i wrote them down on the chart above. Besides structure (and psychological number), price is at the 618 retracement of the bigger daily leg, and the RSI is in divergence with the price's movement.
Also, price's put a nice engulfing candle at this level, giving us a reason to enter the market definetely.
Stops below the lows, target1 near 1,0580, target2 to be determined (somewhere near 1,0650-80s.
Good trading!
If you want to share your standpoint or ask questions, feel free to write below.
Otherwise, see you in the next chart!
nice opportunity here on EURUSD. Price is pressing against a daily & 4hr structure level that seems to hold. We can say that simply by looking at the chart itself, price action creates a first low (at a psychological level) and then when it comes to retest it, it fails to create a new low and insted sets an equal low. This is the first sign that price isn't strong enough to break that level and we can assume that maybe its the starting point of a change in the direction of this market.
When i see situations like this i start gathering different clues of my viewpoint in order to increase the likelihood of the trade.
That's why i wrote them down on the chart above. Besides structure (and psychological number), price is at the 618 retracement of the bigger daily leg, and the RSI is in divergence with the price's movement.
Also, price's put a nice engulfing candle at this level, giving us a reason to enter the market definetely.
Stops below the lows, target1 near 1,0580, target2 to be determined (somewhere near 1,0650-80s.
Good trading!
If you want to share your standpoint or ask questions, feel free to write below.
Otherwise, see you in the next chart!
Trade closed: target reached:
First target hit! Stops at break even now.
Comment:
Second target is now placed at 1,0660 (Gartley completion) but pay attention to where is the price now, in case of short signal we'll be exiting our remaining part:
Comment:
Patience pays (especially in trading)! Second target hit!
