The declining trendline (shown) has held down EUR/USD since the high of March 8th.
It never ceases to amaze me that trendlines so frequently predict price although like anything in trading you cannot depend on them always.
So you need other signs that the price is heading in one direction or another or if the price is reversing or about to reverse.
The Andean Oscillator is a very accurate indicator that not many traders seem to use which I believe is a mistake as it carries a great deal of informatrion if read correctly.
The red SELL line is now above zero on 1M, 5m and 15M and this would suggest EUR/USD BEARS are entering the market.
Its also worth noting that the previous H1 candle is a classic doji indecision (possibly reversal) candle which adds weight to the analysis.
The main worry about this trade is the proximity of the Weekly Resistance Pivot WR1.
This sits at 1.0799 and will be a target for EUR/USD BULLS so I have the STOP above this level incase we get a run up to this resistance level.
Target if the trade takes off will be the 200 EMA at 1.0750 area though the price would need to break through the 25, 50 and 100 EMA's to get there.
Worth noting that the 200EMA on H1 and H4 are in the same place.
The structure remains BULLISH whilst we trade above the H4 200 EMA but a break of this level opens up a possible deep move south down to 1.0664.
It never ceases to amaze me that trendlines so frequently predict price although like anything in trading you cannot depend on them always.
So you need other signs that the price is heading in one direction or another or if the price is reversing or about to reverse.
The Andean Oscillator is a very accurate indicator that not many traders seem to use which I believe is a mistake as it carries a great deal of informatrion if read correctly.
The red SELL line is now above zero on 1M, 5m and 15M and this would suggest EUR/USD BEARS are entering the market.
Its also worth noting that the previous H1 candle is a classic doji indecision (possibly reversal) candle which adds weight to the analysis.
The main worry about this trade is the proximity of the Weekly Resistance Pivot WR1.
This sits at 1.0799 and will be a target for EUR/USD BULLS so I have the STOP above this level incase we get a run up to this resistance level.
Target if the trade takes off will be the 200 EMA at 1.0750 area though the price would need to break through the 25, 50 and 100 EMA's to get there.
Worth noting that the 200EMA on H1 and H4 are in the same place.
The structure remains BULLISH whilst we trade above the H4 200 EMA but a break of this level opens up a possible deep move south down to 1.0664.