EUR/USD Short Trade Setup
Market Structure & Analysis
• The price is moving inside a parallel channel, showing a range-bound market.
• Resistance zone (Upper boundary) has been tested multiple times and rejected.
• The price is now approaching the upper trendline, indicating a potential short opportunity.
Trade Idea
• Entry: Look for bearish confirmation at the resistance zone.
• Stop Loss: Above the previous swing high.
• Take Profit: Lower boundary of the channel (support area).
• Confirmation: Bearish candlestick patterns (e.g., pin bar, engulfing) near resistance.
This trade setup follows a range trading strategy, where price is expected to move within the channel unless a breakout occurs. If the price breaks and closes above resistance, the setup becomes invalid.
Market Structure & Analysis
• The price is moving inside a parallel channel, showing a range-bound market.
• Resistance zone (Upper boundary) has been tested multiple times and rejected.
• The price is now approaching the upper trendline, indicating a potential short opportunity.
Trade Idea
• Entry: Look for bearish confirmation at the resistance zone.
• Stop Loss: Above the previous swing high.
• Take Profit: Lower boundary of the channel (support area).
• Confirmation: Bearish candlestick patterns (e.g., pin bar, engulfing) near resistance.
This trade setup follows a range trading strategy, where price is expected to move within the channel unless a breakout occurs. If the price breaks and closes above resistance, the setup becomes invalid.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.