Here we have a clear inverted head & shoulder pattern. We have supply at 1.3355 area, and demand @ 1.3100 area. Price broke the 1.31 supply turned demand zone, and respected creating a smaller pattern right on the top of the demand zone. The zone is also a 1.38 fib retracement on smaller frame. Looking for price to come up to 1.3150 supply, make the big re-test back down to the 1.31 demand, (also 1.382 fib retracement on daily chart,) and make its way back up breaking 1.3150 supply all the way to the 1.3355 supply area. Many confirmations, this is my first trade idea I share so bear with me if its a little confusing to understand my analysis. If you know the rules of pattern trading, you know that from the bottom of the head, up to the neckline, once it breaks neckline it should move up the same distance upwards. What I love most is, that it is a 280pip move to the upside, and it comes in confluence to the 1.3355 area. I dont really using indicators but if you use an adx, you can see the strong buy signals all the way from 1minute - Daily frames. Weekly is also bullish but not as strong. Monthly is right in between.
Trade closed: target reached:
This move was well over 500pips!!!
