The price, after breaking the upward trendline, retraced to retest the broken trendline. Downward reactions were observed below the 50 and 100-hour moving averages and the 38.2% Fibonacci resistance level from the recent decline.
A retest towards the 61.8% level might occur before further decline. Place your stop-loss level above the 61.8% resistance.
Our initial target is the classic support level intersecting with the 38.2% of the primary upward trend.
Comment
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The price has reached halfway to our target. By closing a portion of your position, you can protect some of your profit against the possibility of an unexpected reversal.
For the remaining part of the trade, you can adjust your stop-loss level below the opening price.
Comment
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After breaking the uptrend, the price has entered a consolidation phase and has been maintaining its horizontal movement within a narrow support-resistance range for a week. The price, which has touched the first trend line of the short-term downward movement, received a downward reaction from this line. Although there is not yet enough price data to establish a new downward trend channel, we can consider this a weak downward signal.
In the upward movements we might see before the decline, our main resistance level will be the 61.8% Fibonacci level.
Trade closed: target reached
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Our price target dropped to 1.72. The trade closed with TP.