4 Hrs: SELL! Price action has been obviously very weak recently, failed to trade higher with good momentum in line with the still . And what do we see today? US believes it's ccy is undervalued against the EUR! Price broke below 100 , which acted as a good support about four times in last few days. Price is just about to break below the 4 Hrs Kumo as well. Future Kumo turned . Slow down and DMI crossed with a very low , which in case start climbing, we may see a very quick drop to 1,3720 support.
Strategy: Start/countinue building (or re-building) shorts in 1,3790 - 1,3830 range. Stop above 1,3850.
Initial tgt: No initial target this time. The reason is I can not put on one reasonable which would be still above daily while providing a minimum 1:2 risk/reward ratio. So my idea is just hold this short position, and move the trailing stop lower as time passes and price drops. Then we either get stopped out one more time, but with minor loss or at flat P/L, or we'll make hell lot of money on the trade in case price breaks through all the daily supports left and enters a new trend!
p.s.: Choice prices and "choice mkts" do not persist too long!
p.s.2.: on USDCHF I am still not in the trade. I wait, maybe we get some better entry level lower, closer to 0,8800.
please see links below