Short

Bearish on EU Currency, But Cautiously Watching for Reversal

Updated

The EU currency has recently completed the B leg of an ABC pattern, suggesting a potential reversal to the downside. While there is a bearish bias in play, traders should be cautious and wait for reversal patterns to emerge before taking action. If no reversal patterns develop, it may be wise to stay out of the market and let the price continue its current trend, as there is still potential for a higher high forming. Traders should carefully monitor the price action and use proper risk management to protect their positions.

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IF THE TREND WILL BE MAKING HIGHER HIGHS TO BREAK THE 1.0750 AZREA:
The EU currency is currently in an uptrend, and traders should be trading with the trend. While a potential continuation to the highs seems possible, traders should also be aware of the liquidity lying below the trendline. If the market does not continue upward, this liquidity may be taken either this week or in the coming weeks. However, if the market retraces back down and gives us a reversal head and shoulders pattern, a move up is likely to happen. Traders should closely monitor the price action to determine if this pattern emerges and use it to inform their trading decisions. As always, it's important to implement proper risk management strategies to protect against potential losses.

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Sell position as the market was able to change character in mu POI zone.

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The first wave of three complete:

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As we all know the market moves from ranges to ranges and right now we are in the big range that was formed yesterday till Asian opened today. with that also in mind, we can look to see price bounces and break each liquidity zone off and trade-off of them as a break and retest making it a 5-wave count and then we can see a reversal coming in by the end of the week.

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Tell me this ain't a perfect trade

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The market recently tapped into the 1H and 4H order block so as a trend trader it is wise to follow what the market is giving us and follow the trend but because we are also having a weak high sitting op top and the market will likely try to break it or fall from the top once again trying to break it.

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IMPORTANCE OF WICK:
With how I trade I do find wicks so important because I do think that they leave some clues in the market for us. Many people think wicks aren't that important and be saying "oh it's just a wick" or something like "The market is manipulating people", it may be true sometimes but with time I learned to see that the ratio of manipulative or it's just a wick against leaving clues behind is lower than the market leaving clues for us to find and follow in its footprint.

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First wave is complete

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A move down after breaking the support trendline seems reasonable

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