EURUSD Tested Resistance, Prepare For A Drop!
Sell below 1.1722. Stop loss at 1.1792. Take profit at 1.1536.
Reason for the trading strategy (technically):
EURUSD tested its resistance at 1.1722 (23.6% Fibonacci retracement, channel resistance, horizontal overlap resistance) where we expect price to fall to its support at 1.1536 (horizontal swing low support). We do have to be cautious of the intermediate support at 1.1612 (50% Fibonacci retracement, horizontal overlap support).
Stochastic (55, 5, 3) has reversed from its intermediate resistance at 87% where we expect to see a corresponding drop.
Reason for the trading strategy (technically):
EURUSD tested its resistance at 1.1722 (23.6% Fibonacci retracement, channel resistance, horizontal overlap resistance) where we expect price to fall to its support at 1.1536 (horizontal swing low support). We do have to be cautious of the intermediate support at 1.1612 (50% Fibonacci retracement, horizontal overlap support).
Stochastic (55, 5, 3) has reversed from its intermediate resistance at 87% where we expect to see a corresponding drop.
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