As mentioned last week, we did not have any clear direction and the pair reflects high volatility for time being. However, we have due to French election touched the upper trendline since the highs in 2016 and now reacted down.
From a weekly timeframe, a weekly close below 8,60-8,58 would suggest some kind of retracement, where support is found at 8,40 and lows 8,30's. Several other indicators are also now slowly turing down, which could support a lower move.
In that matter, a short-setup could offer a fair risk-reward.
Trade setup:
Short entry from 8,58-8,60. Stop loss if we close above 8,65 on a daily timeframe.
Target 1 is 8,40 and target 2 is 8,30.
Play it safe and goodluck!
From a weekly timeframe, a weekly close below 8,60-8,58 would suggest some kind of retracement, where support is found at 8,40 and lows 8,30's. Several other indicators are also now slowly turing down, which could support a lower move.
In that matter, a short-setup could offer a fair risk-reward.
Trade setup:
Short entry from 8,58-8,60. Stop loss if we close above 8,65 on a daily timeframe.
Target 1 is 8,40 and target 2 is 8,30.
Play it safe and goodluck!
Comment:
The pair did today (25.04) reach our entry point at 8,58. Added in that matter 2/3 of desired position and placed a stop on 8,65 (if a close above on daily timeframe). Let us now see how the pair will go towards end of this week, as this will be the next tell.
