Here is the framework around this sell idea:
Weekly:
-bearish structure
-last week ended up closing as a doji whose wick to the upside is longer than the wick to the downside; indicative of stronger bears in the market than the bulls in the course of the week.
-we closed pretty much at the previous week's close, whose candle was a strong bearish piercing.
-combining these two candles gives me a bearish bias as I venture into the incoming week.
H4:
-structure remains bearish
-the initial swing indicates that we might be aiming for the -27% extension still, despite the recent tardiness in pushing south
Midrange:
-we pushed strongly bullish on Friday and closed the day with a mild rejection of the 100% fib retracement level
-notably, we challenged the Monday and Tuesday highs by tapping into them, a move I consider a grab of liquidity.
-this move created the Friday high- which we might not tap into at the week's open, considering the rejection we have already created around the highs
-we have two key H4 levels (0.66665 and 0.66680) to the upside which have been proper closing and turning points and may end up being the resistance levels the pair needs in order to
push south.
Liquidity note:
-the pair created fairly equal weekly lows at 0.66060 and 0.66050.
-these are the main incentive for the pair to push to the lows and make 0.66000 my target for the week's open.
I intend to sell the pair at the key H4 levels to the upside, respectively 0.66665 and 0.66680 provided the pair offers me a rejection at these levels.
Target: 0.66000.
-we might or might not hunt the Friday high but I am open to selling the pair with a good rejection at the aforementioned levels.
Weekly:
-bearish structure
-last week ended up closing as a doji whose wick to the upside is longer than the wick to the downside; indicative of stronger bears in the market than the bulls in the course of the week.
-we closed pretty much at the previous week's close, whose candle was a strong bearish piercing.
-combining these two candles gives me a bearish bias as I venture into the incoming week.
H4:
-structure remains bearish
-the initial swing indicates that we might be aiming for the -27% extension still, despite the recent tardiness in pushing south
Midrange:
-we pushed strongly bullish on Friday and closed the day with a mild rejection of the 100% fib retracement level
-notably, we challenged the Monday and Tuesday highs by tapping into them, a move I consider a grab of liquidity.
-this move created the Friday high- which we might not tap into at the week's open, considering the rejection we have already created around the highs
-we have two key H4 levels (0.66665 and 0.66680) to the upside which have been proper closing and turning points and may end up being the resistance levels the pair needs in order to
push south.
Liquidity note:
-the pair created fairly equal weekly lows at 0.66060 and 0.66050.
-these are the main incentive for the pair to push to the lows and make 0.66000 my target for the week's open.
I intend to sell the pair at the key H4 levels to the upside, respectively 0.66665 and 0.66680 provided the pair offers me a rejection at these levels.
Target: 0.66000.
-we might or might not hunt the Friday high but I am open to selling the pair with a good rejection at the aforementioned levels.