Sell below 109.74. Stop Loss at 110.32. Take Profit at 107.83.
Reason for the trading strategy: Price is approaching our first resistance at 109.74 (horizontal swing high resistance, 50% Fibonacci retracement). We expect a strong reaction to occur below this level, pushing price down to our major support at 107.83 (horizontal pullback support, 38.2%, 50% Fibonacci retracement). Stochastic (89,5,3) is also seeing a bearish divergence and is reacting off its major resistance where we can expect a corresponding drop in price.
You've forgotten about uptrend, my friend. There is a hammer on daily just from trendline, too. Your idea is good enough, I appreciate that, but I think the price can reach 110.5 before drop.
yazkhalid
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Any one can explain why the disregard for the trend line channel