Price reached resistance on the weekly and daily timeframe + overbought + fundamental conditions are in favour of downside (US 10y yields, geopolitics, etc). These are all the reasons why I am short on this one
Price made a lower high on a daily timeframe, which means that there is high chance for a move lower.
Also, price hit resistance level (and also round number) at 1.60 level (check weekly timeframe.
Price found resistance at 1.67-ish level. Since then we saw a reversal and crossovers with many moving averages. I will short this position if price falls below 1.649 level. Stop will be at 1.6550 and profit target at 1.620. This gives me sufficient P:R ratio of 4.75.
From fundamental perspective one can favor the downside since China beated almost every analyst...
We are looking at USD/CAD (4h timeframe). What we are waiting for is break to the upside and then trend continiuation. We will entry around 1.3160 area. Profit will be taken at 1.340 and stop loss is placed at 1.3050!
We wish everyone a great weekend!
USD/JPY is trading in a range. What we want to see is breakout to either direction, but since MACD is making lower highs we favor break to the downside also 110 is a round number and therefore huge resistance level for us.
1. If we get a break to the downside our profit taking area will be between 106.50 and 106.00 area and stop loss above the range area.