Recently, we’ve seen the AUSSIE DOLLAR decline, as China’s manufacturing news has been disappointing. This has enabled the EURO to gain momentum and start a run. 2 weeks ago price re-entered the weekly TL and made new daily highs.. Last week price retested the recently broken TL and ended the day as a strong .
In the coming week, china are due to release manufacturing data which is forecasted to be disappointing which could act as a catalyst and allow the EURO to continue its run. If we go down to the hourly time frames we see that price has made lower highs and lower lows. Therefore, we will not enter our long trade until we see a reversal with higher highs to confirm the run has started. We first expect price to test the red . Once this is broken price will continue up to test the weekly TL at 1.58300.