Examining the 4-hour chart of EURUSD, we observe that the price has reached our anticipated level of 1.07080. At this point, there is an 88.6% Fibonacci retracement of the May-July rally. Furthermore, the Relative Strength Index (RSI) for the current pair indicates oversold conditions, suggesting that EURUSD might be poised for a defensive rebound towards levels around 1.08050 to 1.08350.
However, it's important to note that from this rebound zone, there is a potential for the price to resume its downward movement, targeting the May 31st low of 1.06300. We anticipate the possibility of the price falling below this level, which could pave the way for a move towards the March 15th low of 1.05200. This latter level serves as our initial target for mid-term short positions.
Please remember that trading carries inherent risks, and market conditions can change swiftly. This analysis is for informational purposes only and should not be considered as financial advice. Always exercise prudent risk management and consider various factors when making trading decisions.
However, it's important to note that from this rebound zone, there is a potential for the price to resume its downward movement, targeting the May 31st low of 1.06300. We anticipate the possibility of the price falling below this level, which could pave the way for a move towards the March 15th low of 1.05200. This latter level serves as our initial target for mid-term short positions.
Please remember that trading carries inherent risks, and market conditions can change swiftly. This analysis is for informational purposes only and should not be considered as financial advice. Always exercise prudent risk management and consider various factors when making trading decisions.
Trade active:
market almost hit our stop loss, we ajusted a bit our stop loss with risk to reward ratio still above 1:4
s3.tradingview.com/s...shots/w/w94pbfhN.png
s3.tradingview.com/s...shots/w/w94pbfhN.png
Comment:
Still in trade and we are expecting this trade to go towards 1.0830 as per new development below
Comment:
Taking a broader perspective on this chart, we observe a robust resistance level at 1.08350. With this analysis, we anticipate that this price point could be reached around September 20th to 22nd (It's important to note that during this period, there will be the FED rate decision and Eurozone PMI releases, which may significantly influence market dynamics). If the price manages to breach above the trendline, we might see an extended pullback towards 1.10. Conversely, if the trendline remains intact, we anticipate the price to decline towards 1.04.
Trade closed manually:
trade was closed before ECB rate decision, will be looking to re enter trade at lower levels