Overall we are looking short on this pair. Looks like a Correction face is in play with the potential of reaching the "D" Extension on the bearish ABCD formation. However, as we have oversold both on the RSI and Stochastic we can expect an mini ABCD formation on the 1 Hour time frame. So we can expect a pull back to retest the minor resistance and upward trend line; hence the reason i outlined a "possible strong sell zone'. If price continues to demonstrate bullish momentum and breaks and closes above the mini upward trend line then we can see upside targets as highlighted (0.95180) then possibly higher. If on the opening of the market price does not retrace to the strong sell zone and breaks and closes below 0.93700 then we can look to enter on the small time frames to our downside target (D extension).
Reasons of going short:
- Bearish harmonic completed followed by Head and shoulders
- Divergence
- 200 EMA acting as magnetic resistance
- Bearish MA crossover
- Possible Corrective wave structure in play
***TRADE AT OWN RISK***
Reasons of going short:
- Bearish harmonic completed followed by Head and shoulders
- Divergence
- 200 EMA acting as magnetic resistance
- Bearish MA crossover
- Possible Corrective wave structure in play
***TRADE AT OWN RISK***