The EUR/USD
consolidation lasted for over a week until the pair formed a doji candlestick
on the weekly time frame and finally started moving to the downside, breaking
below the support level at 1.1330 that coincides with (MA)89 on the four-hour
time-frame and breezing below the next support at 1.1300. Currently the pair is
testing 1.1280 and I think it’s very likely to break below that level too.
Should that happen, the next considerable level of support is at 1.1140, which
coincides with (MA)89 on the daily time-frame. Is this the end of the rally? I
think that for now it is too early to tell, since there is still a
possibility for the pair to climb to 1.1500, but for the moment I have opened
short positions.
In fact the last consolidation was followed by a strong reversal.
ReplyDeleteDownward correction very likely extended.
ReplyDeleteA bearish change in direction.
ReplyDeleteFalling like a rock!!
ReplyDeleteIt may have found some support at 1.1260.
ReplyDeleteThat was exptected
ReplyDeleteUseful post.
ReplyDelete