EURUSD | Perspective for the new week | Follow-up
We have been on standby since my last publication on this pair as it took price over two weeks to come to our proposed Supply zone (see link below for reference purposes).
The last few days of last week trading session witnessed a strong Bearish pressure mounts as the price rejects the $1.21500 area which is represented on the chart with a bearish engulfing candle. A plunge on Friday saw the Greenback strengthened amid a dismal market’s mood which could be related to end of the month profit-taking by participants who took advantage of the Bull that began the month of April 2020.
Tendency: Downtrend ( Bearish )
Structure: Breakdown | Supply & Demand | Reversal pattern | Channel
Observation: i. It is completely obvious that price is within a pattern formed from two downward trendlines drawn above and below price action represented by resistance and support levels since December 2020.
ii. The Demand level which held price "supported" @ $1.20000 in the 3 months was finally broken (March 2021) giving way for Sellers to push price below thereby respecting the Descending Channel.
iii. A breakout of the Channel that occurred on the 20th of April 2020 is yet to be confirmed successful or not as a rejection/breakdown of my Key level in the coming week shall help me make a decision.
iv. The Channel Breakout shall be regarded false if the price closes below Key level hereby confirming an opportunity to sell the Euro in the coming week(s)... Trade consciously!
Trading plan: SELL confirmation with a minimum potential profit of 350 pips.
Risk/Reward: 1:4.5
Potential Duration: 10 to 20days
NB: This speculation might be considered to make individual decisions on the lower timeframe.
Watch this space for updates as price action is been monitored.
Risk Disclaimer:
Margin trading in the foreign exchange market (including foreign exchange trading, CFDs, etc.) has a high risk and is not suitable for all investors. The content of this speculation (including all data) is organized and published by me for the sole purpose of education and assistance in making independent investment decisions. All information herein is for your reference only and I take no responsibility.
You are hereby advised to carefully consider your investment experience, financial situation, investment objective, risk tolerance level, and consult your independent financial adviser as to the suitability of your situation prior to making any investment.
I do not guarantee its accuracy and is not liable for any loss or damage which may result directly or indirectly from such content or the receipt of any instruction or notification therewith.
Past performance is not necessarily indicative of future results.
The last few days of last week trading session witnessed a strong Bearish pressure mounts as the price rejects the $1.21500 area which is represented on the chart with a bearish engulfing candle. A plunge on Friday saw the Greenback strengthened amid a dismal market’s mood which could be related to end of the month profit-taking by participants who took advantage of the Bull that began the month of April 2020.
Tendency: Downtrend ( Bearish )
Structure: Breakdown | Supply & Demand | Reversal pattern | Channel
Observation: i. It is completely obvious that price is within a pattern formed from two downward trendlines drawn above and below price action represented by resistance and support levels since December 2020.
ii. The Demand level which held price "supported" @ $1.20000 in the 3 months was finally broken (March 2021) giving way for Sellers to push price below thereby respecting the Descending Channel.
iii. A breakout of the Channel that occurred on the 20th of April 2020 is yet to be confirmed successful or not as a rejection/breakdown of my Key level in the coming week shall help me make a decision.
iv. The Channel Breakout shall be regarded false if the price closes below Key level hereby confirming an opportunity to sell the Euro in the coming week(s)... Trade consciously!
Trading plan: SELL confirmation with a minimum potential profit of 350 pips.
Risk/Reward: 1:4.5
Potential Duration: 10 to 20days
NB: This speculation might be considered to make individual decisions on the lower timeframe.
Watch this space for updates as price action is been monitored.
Risk Disclaimer:
Margin trading in the foreign exchange market (including foreign exchange trading, CFDs, etc.) has a high risk and is not suitable for all investors. The content of this speculation (including all data) is organized and published by me for the sole purpose of education and assistance in making independent investment decisions. All information herein is for your reference only and I take no responsibility.
You are hereby advised to carefully consider your investment experience, financial situation, investment objective, risk tolerance level, and consult your independent financial adviser as to the suitability of your situation prior to making any investment.
I do not guarantee its accuracy and is not liable for any loss or damage which may result directly or indirectly from such content or the receipt of any instruction or notification therewith.
Past performance is not necessarily indicative of future results.
Trade smart. Trade consciously
A plunge on Friday saw the Greenback strengthened amid a dismal market’s mood which could be related to end of the month profit-taking by participants who took advantage of the Bull that began the month of April 2021.