If you've been shorting the EURUSD, this is a very good time to collect some of your hard-earned pips...
The pair is once again struggling to break past its 100% projection level...
Do remember, these levels are act as role reversal levels due to:
* The side in control of the cycle takes profits off the table. * Counter-trend positions are added by contrarian players. * These are price points where limit orders are set by market-makers.
These points are identified by having previously applied the OFA script in order to read the structure of the market...
The way to draw the projection is by dragging the Fibonacci tool from the latest swing up/down to the breaking point that confirms a new cycle...
You will be amazed at the accuracy rate of the 100% Fibonacci projection acting as an initial impenetrable wall as a result of the above rationale...
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The EURUSD has seen a significant rebound since making the call