Based on the Daily timeframe I do have a bullish bias on this pair, so we are looking to take it long if we could potentially retrace in the kill zone and have our rules for entry met to take the trade.
This prediction is a little bit far out, but we could possibly see the 1.00500 level if:
- we retrace in our kill zone on the 0.99600 level which was respected in the past (resistance becomes support) at 50% Fib retracement from recent swing low to swing high
- equal measure move (harmonic move AB=CD pattern) takes us exactly at 1.00500 level
Since we have such a narrow kill zone, for entry I will be looking for a conservative reason like the double bottom with bullish divergence on the RSI. My trading timeframe will be the 1H chart.
This prediction is a little bit far out, but we could possibly see the 1.00500 level if:
- we retrace in our kill zone on the 0.99600 level which was respected in the past (resistance becomes support) at 50% Fib retracement from recent swing low to swing high
- equal measure move (harmonic move AB=CD pattern) takes us exactly at 1.00500 level
Since we have such a narrow kill zone, for entry I will be looking for a conservative reason like the double bottom with bullish divergence on the RSI. My trading timeframe will be the 1H chart.