EURUSD - Short
Updated
EURUSD in 2021 shows big sell opportunities as from January 2021 it is in a down trend, in march it hit 1.17 area with could be named as the important support area as we see a lot of rejection from this point.
if we use fib retracement from 2021 high and 2021 low the market currently ends at the 0.618 fib level (1.12)
Euro is overall looking bearish and USD is looking bullish to me the whole year as America is recovering from the pandemic much better than Europe
my entry is at the 4H time frame by spotting a Hanging man pattern after a rally,
my first take profit is at the previous low of the market and my stop loss is 30 pips
If my stop loss wont be triggered I will wait for the market to reach the first low and see if the market
decides to go through it, if it does i will trail my stop loss as long as I can and potentially ride the Swing Trade for a long time or I will be taken out by my Stop Loss in profit
However, if the market decides to go against me straight away and hit my stop loss of 30 pips, I will then continue to wait for the market to go around the 0.786 fib level (1.22)
for me to enter a trade at this level I would like to see reversal candlestick pattern, and some fundamental news confirming that the euro will continue to be outworked by the American dollar
if we use fib retracement from 2021 high and 2021 low the market currently ends at the 0.618 fib level (1.12)
Euro is overall looking bearish and USD is looking bullish to me the whole year as America is recovering from the pandemic much better than Europe
my entry is at the 4H time frame by spotting a Hanging man pattern after a rally,
my first take profit is at the previous low of the market and my stop loss is 30 pips
If my stop loss wont be triggered I will wait for the market to reach the first low and see if the market
decides to go through it, if it does i will trail my stop loss as long as I can and potentially ride the Swing Trade for a long time or I will be taken out by my Stop Loss in profit
However, if the market decides to go against me straight away and hit my stop loss of 30 pips, I will then continue to wait for the market to go around the 0.786 fib level (1.22)
for me to enter a trade at this level I would like to see reversal candlestick pattern, and some fundamental news confirming that the euro will continue to be outworked by the American dollar
Trade active
we are seeing a lot of bullish pressure from the 1.206 areawhich is a 0.5 fib retracement level. However, i am still bearish on this trade as we approach the 0.7 fib level, this could be another area to enter this trade as the market is retesting a key resistance area.
In a uptrend resistance is easier to break for bulls and in a downtrend support is easier to break for the bears. We are in a techincal up trend however fundamentals have a bigger impact on the market than just price action and patterns itself. this is a more risky trade but with good risk management we can possibly catch a huge wave
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