EUR/USD Update, Thu 15, July
Hi there,
Yesterday our short-term target has been accomplished, market has reached 1.2760 OP. Now we are at strong resistance - 1.2753 weekly Pivot resistance 1, 1.2760-1.2782 daily Fib Confluence resistance and Agreement. Besides, 1.2802 - Monthly Pivot resistance 1. I do not know what do you think, guys, but I definitely do not what to Buy here. I think that we can expect at least pull back from this area. So, how we should act here...
In fact, I have opened already short position (I don't know will I have a time to track market for enter, huh). But the proper way to act - wait for first push down and enter on a retracement. I think that s/l can be placed at 1.2820 - just above monthly Pivot resistance 1. Now about targets.
There can be 2 scenarios - first scenario is a retracement. When market reaches an OP, before move to XOP, it makes 0.618 retracement from the recent up swing. The target of this retracement is 1.24-1.2430 Confluence support.
Second scenario - is a weekly B&B trade with a target 1.22.
Anyway, I choose as a target 1.24-1.2430 area - because even if this is a weekly B&B market will bounce up from 1.24 and only after that will move to 1.22/
That's being said - enter short with s/l at 1.2820 t/p 1.2430. When market will start a move down - move stops to b/e, because it can be just a pullback from strong resistance and market can test it later again.
The major level here - 1.2670. If market will move below it - then we can say that down move has started.
I do not exclude after 1.2430 (or 1.22 if it will be a B&B) move to XOP at 1.31 - that is my favorite area to enter long-term short position. I've told about almost in every weekly research.
Best of trading to you, guys.