Pair is currently trading in a key zone. If the support area around 0.7640-30 holds, we will be looking to long the pair as it is already under bullish hidden divergence on the H1 chart. However if the support mentioned above is broken, the bearish momentum will probably take place and push the pair lower towards the last low or maybe even new lows around 0.7550-0.7500. Watch the video explanation on the bottom for more details.
Technical Overview:
H1: Bullish hidden divergence, support on the way
Entry:
Bullish Scenario – If the support around 0.7640/30 manages to hold, pair stops and forms a bullish candle pattern,
we will consider a long position.
Target 1: 0.7730
Target 2: D1 20 MA
Stop Loss: below last low created
Bearish Scenario – In case the pair break the 0.7630 support and holds below it, we will be looking to join a potential down move. Entry on the retest of the broken support or if a pattern is created after the break, we will wait for a break below it. That could be a triangle, wedge, flag etc.
Target 1: 0.7600
Target 2: 0.7550
Stop Loss: above the support 0.7640
Video Explanation:
Have a wonderful day!
Vladimir
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