Consequent to this recent activity, price has very nearly completed the D-leg of a 4hr terminating around the 0.7170 area. This is certainly somewhere we’d consider selling from if price reaches this high, since it sits within a daily coming in at 0.7204-0.7119. We also like the way this completes just above the 4hr supply area at 0.7152-0.7120 – this has fakeout written all over it!
That being said, one will need do tread carefully here, as let’s not forget that even though price is currently trending south, we are seeing buying pressure from a weekly seen at 0.6768-0.6942.
Levels to watch/ live orders:
• Buys: Flat (Stop loss: N/A).
• Sells: 0.7071 Tentative – confirmation required (Stop loss: dependent on where one confirms this level).