The EURUSD is travelling within a downtrending channel , with the 200 MAV containing the price action.
Price has broken below 1.1100 and yesterday the buyers were rejecting price passing to 1.10 , with the formation of a notable pinbar.
Before reentering with a short trade , the area of interest would be
1. Test of now 1.11 as resistance , with failure.
2. Price to retrace back to a zone between the shorter term moving averages.
Stop - above the indecision spinning top candle = 1.1190
Target - confluence of channel low and past area of S/R = 1.0850
Risk Reward = 5+
Price has broken below 1.1100 and yesterday the buyers were rejecting price passing to 1.10 , with the formation of a notable pinbar.
Before reentering with a short trade , the area of interest would be
1. Test of now 1.11 as resistance , with failure.
2. Price to retrace back to a zone between the shorter term moving averages.
Stop - above the indecision spinning top candle = 1.1190
Target - confluence of channel low and past area of S/R = 1.0850
Risk Reward = 5+