The way we are seeing things right now is the weekly is presently trading within shouting distance of supply drawn from 1.1533-1.1278. Meanwhile, down on the , a very clear bear pattern is forming. Our sell zone here is fixed between the 127.2% Fibonacci level at 1.1197 and the 161.8% at 1.1387. Clearly this is a huge sell zone, and not one that we’d be comfortable trading due to the large stop-loss required.
On that account, today’s spotlight will firmly be focused on the daily painted above at 1.1385-1.1332 (the upper area of our sell zone which also sits within the above said weekly supply) for sells. On the H4 there is also a corresponding coming in at 1.1349 within this daily supply, but for the best part our focus will be on the today. That being the case, we are placing a pending sell order at 1.1330 and a stop just above our daily zone at 1.1395. As of now, the first take-profit level can be seen on the at 1.1122 – a recently broken resistance-turned support.