• Symmetrical bear pattern completing around the 1.5218 region.
• resistance taken from the swing high 1.5401.
• Deep 78.6% Fibonacci resistance seen at 1.5239.
However, as tempting as this may look, this sell zone sits above a daily swap (supply) at 1.5198-1.5154, meaning that a fake of this area would be required for this zone to be hit. Meanwhile, up on the , we can see that price is being bid from demand at 1.4855-1.5052, effectively placing this pair now mid-range between this said demand and the supply overhead drawn from 1.5506-1.5305.
Although the higher timeframe picture does not perfectly support a downside move from our highlighted sell zone, we still remain confident a bounce lower will be seen from here. The reason being is that the stops taken from a break above the aforementioned daily swap (supply) zone will likely provide well-funded traders enough liquidity to short. As such, a pending sell order has been placed at 1.5198 with a stop set above at 1.5244. Initial targets for this trade fall in around the swap demand at 1.5155-1.5130, followed by psychological support 1.5100.