On daily TF, a head and shoulders
pattern is in play, this has formed after a rejection of the major bearish trend line
. The targets for this pattern would be below the blue trend line
, so expect resistance at this area. If the blue trend line
is broken, price should test the major bullish trend line
, which is where I have placed the next profit target (TP 2). The counter trend line
can be used to place the stop loss, as a break of this would invalidate the H&S
pattern. The right shoulder falls at the 50-61.8 fib reatracement zone, adding further confluence to the setup.