EU has shown bullish strength over the past week breaking highs set back in September.
Towards the end of the week, we've seen a bit of an exhaustion on the rally.
Signs of exhaustion:
1) Broken 1H trendline
2) Double top formed on the 15M
3) Broken support level on the 15M
4) Trading below 50 EMA on both 1H and 15M charts
5) Bearish divergence and OB on both 1H and 15M charts
My idea:
I am expecting a bit of a pullback and retest of the most recent level of structure which lines up with the 50% fib level before EU could possibly make a move higher.
Entry criteria:
Sell limit placed at resistance 1.21336 with a 25 pip SL and 85 pip TP to the 50% fib level.
Potential RR: 1:3.4
Towards the end of the week, we've seen a bit of an exhaustion on the rally.
Signs of exhaustion:
1) Broken 1H trendline
2) Double top formed on the 15M
3) Broken support level on the 15M
4) Trading below 50 EMA on both 1H and 15M charts
5) Bearish divergence and OB on both 1H and 15M charts
My idea:
I am expecting a bit of a pullback and retest of the most recent level of structure which lines up with the 50% fib level before EU could possibly make a move higher.
Entry criteria:
Sell limit placed at resistance 1.21336 with a 25 pip SL and 85 pip TP to the 50% fib level.
Potential RR: 1:3.4
Trade active:
EU has triggered limit entry.
Will continue to update as trade progresses.
Will continue to update as trade progresses.
Comment:
Trade closed: stop reached:
Remaining EU position has reached our break even point.
The 15M TDI is OS and PA could form a bit of a pullback.
A scale in is possible if bearish structure holds.