EURUSD: Bearish Reversal Idea, Seasonal Analysis
Updated
Bearish Indications
• Resistance Zone at 1.06428
• Seasonal Analysis show
EXY remains Bearish in January 60% of times.
•
DXY is in a Bearish Trend on Weekly time-frame.
• Gartley’s XABCD the point D indicates a reversal in the Zone of 1.06428 to 1.06605
• Monthly Seasonal analysis showsDXY remain Bullish in January 60%.
• EXY remained Bullish in December 2022 which indicated to a point that seasonal are working so far.
• Weekly Seasonal Analysis show
EURUSD remain Bearish in 3rd Week of January
•DXY is at a significant Support Zone 103.780 from where a bounce back is possible.
• Slight Divergence spotted on ChandeMO Oscillator onEXY .
Bullish Indications
• 4hrs time-frame Higher Highs and Higher Lows formation.
• 4hrs time-frame Three White Soldiers candle pattern.
• Significant Support Zone at 1.06322
•EXY is in a Bullish Trend on Weekly Time frame.
• Weekly Seasonal Analysis showsEURUSD remains Bullish in 2nd Week of January.
• On Weekly timeframeDXY price action show an inverted hammer candle which indicates sellers are in control.
• TraditionallyEXY and DXY are negatively correlated.
Biased: Short
Trade PLAN (Short)
Entry: 1.06556 (Fib Lvl 78.6%)
TP: 1.05711 (Fib Lvl 38.2%)
Stop Loss: 1.06881 ( Support area / Higher High/ Fib Lvl 88.6%)
Risk/Reward: 1:2.39
N.B.
Manage your Risk Accordingly.
• Resistance Zone at 1.06428
• Seasonal Analysis show
EXY remains Bearish in January 60% of times.•
DXY is in a Bearish Trend on Weekly time-frame.• Gartley’s XABCD the point D indicates a reversal in the Zone of 1.06428 to 1.06605
• Monthly Seasonal analysis shows
DXY remain Bullish in January 60%.•
EXY remained Bullish in December 2022 which indicated to a point that seasonal are working so far.• Weekly Seasonal Analysis show
EURUSD remain Bearish in 3rd Week of January•
DXY is at a significant Support Zone 103.780 from where a bounce back is possible.• Slight Divergence spotted on ChandeMO Oscillator on
EXY .Bullish Indications
• 4hrs time-frame Higher Highs and Higher Lows formation.
• 4hrs time-frame Three White Soldiers candle pattern.
• Significant Support Zone at 1.06322
•
EXY is in a Bullish Trend on Weekly Time frame.• Weekly Seasonal Analysis shows
EURUSD remains Bullish in 2nd Week of January.• On Weekly timeframe
DXY price action show an inverted hammer candle which indicates sellers are in control.• Traditionally
EXY and DXY are negatively correlated.Biased: Short
Trade PLAN (Short)
Entry: 1.06556 (Fib Lvl 78.6%)
TP: 1.05711 (Fib Lvl 38.2%)
Stop Loss: 1.06881 ( Support area / Higher High/ Fib Lvl 88.6%)
Risk/Reward: 1:2.39
N.B.
Manage your Risk Accordingly.
Trade closed: stop reached
Trade is closed due to Stop Loss hit but, we can look into this theory in a broader terms.
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.