The setup:
1) downtrend on the daily.
2) a pullback against this trend has occurred the past week and a half.
3) A reversal candle printed at resistance.
4) as a bonus, but not really necessary for the setup, stochastics are in overbought level and started curling downward.
The trade: Short with a stop at 104.20 (just above yesterday's high). R = ~125 pips.
1) downtrend on the daily.
2) a pullback against this trend has occurred the past week and a half.
3) A reversal candle printed at resistance.
4) as a bonus, but not really necessary for the setup, stochastics are in overbought level and started curling downward.
The trade: Short with a stop at 104.20 (just above yesterday's high). R = ~125 pips.