EURUSD has successfully broken out with volume after a long consolidation. I believe this is a start of a downtrend for EURUSD. That said, it is currently oversold with RSI at 29 bouncing off January lows. I see opportunity in a long in the short time frame, possibly a test of support turn resistance before we go onto a full position short. Trading against trend, I'll be giving a 0.5% risk for this trade.
Profit taking starts when RSI goes to 40-50 with the final position taken off at 1.214
Profit taking starts when RSI goes to 40-50 with the final position taken off at 1.214
Trade closed: stop reached:
Discretionary: 4.525%+0.5% = 4.025%
Planned: 5.4%-0.5%= 4.9%
I think something we can learn here is to wait for candle to close above previous day's highs. Downward momentum is still strong despite oversold. Panic selling continues and today will be day 11. The longest I have seen is 12 days.
Planned: 5.4%-0.5%= 4.9%
I think something we can learn here is to wait for candle to close above previous day's highs. Downward momentum is still strong despite oversold. Panic selling continues and today will be day 11. The longest I have seen is 12 days.