EURNZD Falling Wedge , Break Out and Double Bottoms
Strong Support Line creating a Falling Wedge along with Double Bottom trend reversal indication.
There is a strong support line formed which market has failed to cross around 1.62077 and which also has been tested again before market close and has shown no indications of trend continuation on the downside.
Also,there is a strong indication of trend reversal based on double bottom phenomenon as shown in the chart.
Target around 1.63512 on channels upper level to test resistance of the bearish channel.
Stop under the support line around 1.61817 although, lower than 1.61560 would be wise if you want to take a riskier trade since price spiked to that point earlier.
Should price go above the first target , breaking the bearish channel , I plan to trail my stops slightly lower than the previous target and look for a 0.236 or ambitiously 0.382 fib retracement of the downtrend.
Should price go below stop and I get kicked off the position I would be looking at price action within the bearish channel , in interest to short.
Please be aware that this post serves no purpose other than to share an idea , showing my prespective on this particular currency pair and to receieve any constructive criticism with reasonable arguments.
Trade wisely,
Platon.
There is a strong support line formed which market has failed to cross around 1.62077 and which also has been tested again before market close and has shown no indications of trend continuation on the downside.
Also,there is a strong indication of trend reversal based on double bottom phenomenon as shown in the chart.
Target around 1.63512 on channels upper level to test resistance of the bearish channel.
Stop under the support line around 1.61817 although, lower than 1.61560 would be wise if you want to take a riskier trade since price spiked to that point earlier.
Should price go above the first target , breaking the bearish channel , I plan to trail my stops slightly lower than the previous target and look for a 0.236 or ambitiously 0.382 fib retracement of the downtrend.
Should price go below stop and I get kicked off the position I would be looking at price action within the bearish channel , in interest to short.
Please be aware that this post serves no purpose other than to share an idea , showing my prespective on this particular currency pair and to receieve any constructive criticism with reasonable arguments.
Trade wisely,
Platon.
Trade closed: target reached:
First Target reached