The price reached the resistance zone formed by Simple Moving Average 200 and 1.11800 resistance. The pin bar gave us a reversal signal. If we look at the price, it is far from the local uptrend line, and it will be logical to expect a correction movement. That's why I would like to search for sell opportunities using the 4H, 1H, and lower timeframes. If the price bounces from the resistance, it will be possible to combine reversal and breakout signals and trade based on them.
Of course, the price can break the resistance and try to move higher. But I'm not sure that buyers will be able to push the market upward and provide us a good space for buy trades. We can also expect a false breakout, and it will be another good sell opportunity.
As for buy trades, in the current situation, the best entry zone for buying is at the uptrend line. If the market corrects the previous upward movement to the uptrend line, reversal signals from this zone will be good for buying
RSI gaining momentum and no divergence
change that might go up
DLavrov
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@deco_in, for the daily timeframe SMA200 acts as very strong trend line. Now the price is below it and there is also an additional resistance. So, yes, RSI os not bearish but the price can bounce from the resistance zone. We will see.
change that might go up