Technically, this recent upsurge has opened up the floodgates for price to run higher on both the daily and 4hr charts. The 4hr shows room to continue up to 1.1500, followed closely by supply sitting just above it at 1.1560-1.1522, while the daily action boasts a clear run up to supply coming in at 1.1712-1.1614. The only drawback here is the weekly scale. Price is currently trading within supply at 1.1532-1.1278. Despite this though, there has not really been much noteworthy selling interest registered here since price connected with it over three weeks ago…
Therefore, should price retest 1.1400 as support going into today’s trade, and show some form of lower timeframe buying strength, we’d feel relatively confident taking a long from here, targeting 1.1500. However, this is not a ‘set and forget’ type of trade. If all goes to plan, we intend to trail our stop behind lower timeframe supports as and when they form since we absolutely detest taking a loss when a win was possible.
Levels to watch/live orders:
• Buys: 1.1400 Tentative – confirmation required (Stop loss: dependent on where one confirms this level).
• Sells: Flat (Stop loss: N/A).