FX_IDC:USDBRL U.S. Dollar / Brazilian Real
Something very negative is going on in Brasil for various reasons.
This will lead to a great opportunity to buy the currency, the , the Sugar .
This chart suggests that if 4.00 is reached again it could be the overall bottom for the country.
agree 100%. based on fibo i would say we may see the 3.70 level (not far from your 4.00). i am building my longs btwn 3.10 and 3.05 as, according to my view, this is a 4th wave retracement getting ready for the final 5th. brl is following the lead of usd appreciation. what happens is that countries with poor performance (economics/political) like brazil are suffering the most. russia is at the same path.
you could be right. like i said, i am not a forex trader and i have limited knowledge on brazil. here is a snapshot on how I see it. building longs on low range of a 4 usually pays off. question is always how deep this 4 would go. literature suggests somewhere around 0.618, thus it could go further the “blue arrow” you see on the chart below. good luck!