EURUSD Bullish Reversal Alert-Key Entry & Profit levels
Updated
The EURUSD is currently forming a Bullish Shark Harmonic Pattern (XABCD) on the 4-hrs chart. This pattern is characterized by a specific series of Fibonacci retracements and extensions, signaling potential reversal points in the market.
__________Potential Reversal Zone (PRZ) and Confluence Factors_____
Point D, identified as the Potential Reversal Zone (PRZ), is a critical area where price action is expected to reverse its current trend. This PRZ is notably aligned with several confluence factors, strengthening our bullish bias:
_______________Trade Setup_______________
Given the above confluence of technical indicators, we anticipate a bullish trend reversal from Point D. The following trade setup is recommended:
____________Take Profit Levels____________
The take profit targets are strategically placed to maximize potential gains while managing risk:
Each take-profit level represents a logical point where price action may encounter resistance, providing opportunities to secure profits incrementally.
Conclusion:
The EURUSD is poised for a potential bullish reversal at the identified PRZ, supported by a convergence of technical indicators. By entering at 1.07075 and placing a stop loss below the support level at 1.06485, we position ourselves to capitalize on the expected upward movement. The outlined take profit levels offer a structured approach to profit-taking, balancing potential gains with prudent risk management.
Recommendations:
Traders are advised to monitor the EURUSD closely for confirmation of the bullish reversal before entering the trade. Adjustments to the trade setup may be necessary based on evolving market conditions and price action behavior.
__________Potential Reversal Zone (PRZ) and Confluence Factors_____
Point D, identified as the Potential Reversal Zone (PRZ), is a critical area where price action is expected to reverse its current trend. This PRZ is notably aligned with several confluence factors, strengthening our bullish bias:
- Key Support Area: Point D coincides with a significant support level, suggesting strong buyer interest and potential price reversal.
- Bullish RSI Divergence: The Relative Strength Index (RSI) is showing bullish divergence, indicating a potential shift in momentum from bearish to bullish.
- 78.6% Fibonacci Level: The PRZ is also at the 78.6% Fibonacci retracement level of the previous daily swing points, adding further credibility to the expected bullish reversal.
_______________Trade Setup_______________
Given the above confluence of technical indicators, we anticipate a bullish trend reversal from Point D. The following trade setup is recommended:
- Entry Point: 1.07075, at the 50% Fibonacci retracement level.
- Stop Loss: Placed below the key support level at 1.06485 to mitigate risk.
____________Take Profit Levels____________
The take profit targets are strategically placed to maximize potential gains while managing risk:
- TP-1: 1.07665
- TP-2: 1.08255
- TP-3: 1.08845
Each take-profit level represents a logical point where price action may encounter resistance, providing opportunities to secure profits incrementally.
Conclusion:
The EURUSD is poised for a potential bullish reversal at the identified PRZ, supported by a convergence of technical indicators. By entering at 1.07075 and placing a stop loss below the support level at 1.06485, we position ourselves to capitalize on the expected upward movement. The outlined take profit levels offer a structured approach to profit-taking, balancing potential gains with prudent risk management.
Recommendations:
Traders are advised to monitor the EURUSD closely for confirmation of the bullish reversal before entering the trade. Adjustments to the trade setup may be necessary based on evolving market conditions and price action behavior.
Trade active
TP-1 Hit, Hold your Trade with Trailing Stop Loss if you are aiming or TP-2 & TP-3
Trade closed: target reached
TP-2, TP-3 & TP-4 Hit.
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