The price broke the support zone between 1.09000 and 1.08750 and moved lower. It gave us a bearish signal and confirmed the main downtrend. If we look at the whole picture using the daily chart, the market is bearish. DMI confirms the strength of sellers. MACD histogram and lines support the further falling.
The market is bearish, USD is strong, but in spite of this, I don't think that selling is a good idea now. The price dropped a lot, and it is better to wait for a pullback and catch it. Yes, I'm searching for buy opportunities in this market as they will be more logical. There are no markets that can move in the same direction all the time. There are impulse waves and correction waves. In this example, if we missed an impulse wave, a correction wave will be able to give us a new trade opportunity.
I would like to use a reversal signal and open a buy trade. Yes, it will be against the main trend, and it will be risky. If you are not sure, it will be better to skip a correction and wait for a new impulse wave from MAs or trend lines.
RSI reached the oversold zone. It will be able to give a good signal confirming the price reversal. The nearest support zone is at 1.08000 level. If the price bounces from this support, it will be possible to search for the exact entry point using the daily and hourly timeframes.
Disclaimer! This post does not provide financial advice. It is for educational purposes only! You can use the information from the post to make your own trading plan for the market. But you must do your own research and use it as the priority. Trading is risky, and it is not suitable for everyone. Only you can be responsible for your trading.
I think at this point, we go down to Macron Gap at .077,
That's much more significant than .08 and I dont see this trend stopping without significant support.
That's much more significant than .08 and I dont see this trend stopping without significant support.