Price has been rejected by the Monthly Kumo Cloud and the Yearly R2. We now
see a rather sharp drop after some sideways consolidation, after price breaching
the SMA200. There is a tentative H&S pattern though clearer on daily chart because
of the two tops on the right shoulder as seen here. The neckline could be drawn as
here at 1.1840. A projected target stands at the end of the vertical line at 1.1585.
The swing expansion fib 1.618 is at 1.1680, a level that is in confluence with the Monthly S1
and the Weekly S3 (Not Butterfly as mentioned in the chart text. There is a butterfly
but the levels are different). We might see a bounce here, which then could be sold into,
aiming for the H&S target.
If no support price may accelerate to the target. The dollar index has reached and touched
the lower Kumo CLoud on Daily tf, thus will have to enter the cloud for this pair to
continue down. It is probably better to wait for a bounce rather than chase from here.
see a rather sharp drop after some sideways consolidation, after price breaching
the SMA200. There is a tentative H&S pattern though clearer on daily chart because
of the two tops on the right shoulder as seen here. The neckline could be drawn as
here at 1.1840. A projected target stands at the end of the vertical line at 1.1585.
The swing expansion fib 1.618 is at 1.1680, a level that is in confluence with the Monthly S1
and the Weekly S3 (Not Butterfly as mentioned in the chart text. There is a butterfly
but the levels are different). We might see a bounce here, which then could be sold into,
aiming for the H&S target.
If no support price may accelerate to the target. The dollar index has reached and touched
the lower Kumo CLoud on Daily tf, thus will have to enter the cloud for this pair to
continue down. It is probably better to wait for a bounce rather than chase from here.