Joe_Renshaw

Joe_Renshaw

4th tap of descending trend-line, 50ema rejection on 4hr TF + 38.2 Fibonacci level

Joe_Renshaw

Price trading in a descending channel, and we have a trend line cross over near to where 50ema is. Need price to reject 61.8fib level for entry.

Joe_Renshaw

Euro fundamentally has been hammered due to covid 19, and eurusd is very clearly bearish and as you can see from the trend-lines we are trading in a descending channel which is being respected well. The blue dotted line is my area of resistance which also matches 61.8 fib level and we also have price trading just below the 50ema.

Joe_Renshaw Updated 

Reason for entry - Price has stalled and started to range, third tap to the ascending trend-line, triple bottom. SL below the trend-line. Looking 1 : 2 risk to reward minimum.

Joe_Renshaw

So after seeing signs of bearish divergence (trend line on indicator and on chart) we saw a large bearish move down. Now price has had the third tap onto the ascending trend line and as of now rejects the 50ema on the 4 hour time frame - another confluence being how it is sat on the 61.8 fib level which it is starting to push beyond. Stocastic oscillator also...

Joe_Renshaw Updated 

Awaiting re-test of the TL - last few candles showing sellers in the market. 50ema also sat on the trend line on the 4 hour time frame.

Joe_Renshaw

Short position entered. See analysis here -

Joe_Renshaw Updated 

Awaiting cross over of the trend lines for solid sell conformation, placing stop loss above the 50ema on the 4 hour time frame and target around 110 pips (the blue dotted line) which is just above where the wicks are and and area where price has failed to reject several times.

Joe_Renshaw Updated 

Reason behind this buy - Broke the 4hr resistance level (dotted line on the chart) and the 4 hour candle closed above this area of resistance. Which was also rejecting the 50ema + we also had strong data come out of eurozone (ZEW Sentiment)

Joe_Renshaw

Following previous analysis of mine I am buying off failure for price to reject the 61.8 FIB level with TP just below the ascending TL and 50FIB level. Risk reward 1 : 2

Joe_Renshaw Updated 

Triple bottom formation - buy off the 50ema.

Joe_Renshaw Updated 

Risk to Reward 1 : 3 - signs bearish momentum is slowing.

Joe_Renshaw Updated 

Long - Risk to reward 1:3

Joe_Renshaw Updated 

I will be watching this pair next week and may enter dependent on how price action plays out.

Joe_Renshaw Updated 

Third tap to the ascending trend-line. Bounce off the 50ema and 61.8 Fib level. Stop loss underneath support and Stocastic showing potential buy signs. Lots of confluences on this trade. Target is 150 pips. 1 : 3.75 Risk to reward ratio.

Joe_Renshaw

Overall trend of this pair is bearish as you can see on the chart we trading in a downwards trend. However price is stalling in the current area and I think we could see longs on this pair to 1.73000 as that is around the descending trend line and where the 50ema is.

Joe_Renshaw

Price action to push pair down and reject trend line before moving up. Will also watch how price reacts to the 61.8 FIB level

Joe_Renshaw Updated 

Long position at 1.0800 looking for 80-100 pips, EU seems to respect trend well and is approaching an area of support that seems to hold well. Stochastic indicator showing signs this pair is oversold. Dotted blue line is support, looking to target just below the 50ema on the 4 hour time frame.