Starting on higher timeframes, the Daily in this instance, I have drawn a Fibonacci from the candle lows of the 15th December to the candle highs of Christmas Day (25th Dec). Price has recently fallen to the 78.6% level which provides an opportunity for a bullish setup.
An entry was found at 0.31878 and although two spikes into the 78.6% level would have provided better entry, this level did see a H4 bullish engulfing retest so will look to hold strong. Target is set for 120.6 pips higher at 0.33084, although price could reach the other 78.6% Fib for this past week's move at 0.33390. This would confluence with the trendline retest also. Stop loss is set 48.8 pips lower at 0.31390. This gives me an average risk/reward of 2.47/1.
Trade updates will be made in the following few days...
Trade closed: stop reached:
Stop loss. Manipulative downside spike. Awaiting further trade setups.