After reaching current bottom support, price is now making retrace back.
On 1h chart we can see that there is a strong divergence, which means that before December 14 news (Fed Interest Rate Decision - 19:00 GMT) price may retrace to previous (1.06280 - green arrow) or higher.
Explaining the chart :
As I said, the price is now on a "bottom" support (#1), but after doing analysis (fibs, bottom support line...) I have found the level of a strong support (#2).
Cycle lines (The red vertical lines):
Those lines shows where the price will have a breakout in the future. It doesn't have one candle accuracy, but using other TA it can be very useful. You can see that 0.618 and 0.625 are merged together, both of two cycle are important. 0.618 - During the news ; 0.625 - After the news. It depends on the price action how you're going to use them.
Fibonacci levels (White horizontal lines) :
Fib levels can be used to identify support or resistance.
Support line (White; bellow support #1):
This line can be used to short if the price will break down.
*During FED news price might make a spike, which can ruin your breakout or other TA based trades.
*FED can leave the same rates. Investors are expecting FED to rise interest rates, but you should include at least one trading plan, if the rates will be left unchanged.
I will update this Idea next week. If you agree with my Idea it would be nice if you would support this Idea by giving it a like. Also you can share your expectations for the next week in
the comment section bellow.