Our previous long position went into 45 pips profit at the end of the Asian trading session. It since retraced and has bounced from the 4H confirmed support. This indicated that our analysis for the long position was correct. Therefore, we will look to take another entry.
Price has consolidated at the 40 level on the RSI which indicates we are still in a bullish move. As such we have been looking for long opportunities. Now that price has broken consolidation we can look to buy it up to 1.37430.
Having been previously stopped out on our last entry, we have since witnessed price move to the outer band of our resistance. Therefore, I shall be waiting for a retest on the 15min chart before entering into our short position with.
Momentum is still clearly with the bulls. However, we are now approaching weekly and monthly resistance which for the last week has been a key zone for going short. As such I will be looking for another short opportunity. However, if we make a move to the upside then we could finally see a continuation of the bullish trend.
Price is reaching a strong area of resistance after a period of consolidation. Looking at the higher time frames we can expect to see a move to the downside. As such, looking at the 15min to catch a move to the downside.