Long position on this pair for a number of reasons:
1) Simple uptrend on both daily and weekly charts with higher lows and highs.
2) Break of counter trend line and retest rejecting 0.618 retracement.
3) We've pulled back from a false breakout around 0.7700 levels into previous support.
4) Upon retest of the outside of the counter trendline, support and 0.618 fib level, price has formed a morning star pattern indicating a strong reversal.
5) On the 4 hour chart, we have 2 bullish engulfing candles.
1) Simple uptrend on both daily and weekly charts with higher lows and highs.
2) Break of counter trend line and retest rejecting 0.618 retracement.
3) We've pulled back from a false breakout around 0.7700 levels into previous support.
4) Upon retest of the outside of the counter trendline, support and 0.618 fib level, price has formed a morning star pattern indicating a strong reversal.
5) On the 4 hour chart, we have 2 bullish engulfing candles.
Trade closed: target reached:
Trade closed early for 58 pips profit around resistance zone as reversal looks like it's in the works.
