Updated

EURUSD Trade Idea

In yesterday's analysis, I expected EU to have a sell-off from 1.2176 resistance level with 1.2060 support zone as the initial target, which was exactly what the market performed. A breakdown of yesterday's forecast, I noticed since a flag (exhaustion pattern) since 21st Jan, as price bounced off a 'channel' multiple times, which would typically lead to further sell-off. On 26th - 27th Jan, price kept failing to go above the 1.2176 resistance level indicated buyers' weakness, which added up as an extra confluence for the sell-off possibility towards 1.3620 support zone which was the low of the flag pattern. In today's trading session, I will be favoring short-term selling opportunities, these are the setups that I am looking at

1. A shallow pullback followed by further bearish pressure with 1.2060 & 1.2010 support zones as targets (Bearish)
2. Be aware if price again rejects off 1.2060 support zone, that could send price back to 1.2140 minor resistance (Bullish)

However, do not forget the overall trend on the higher timeframe remains bullish.

Trade safe.

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TraderNeoh

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TraderNeoh

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