Pair completed a false break on the daily chart right on the down trend line and there is also bearish divergence. Furthermore on the H4 chart we can see that the pair made a strong push down and we can expect continuation in the same direction. Dropping to the H1 chart, there was an up trend line that was broken so now we can look for corrections up to go ahead and sell. Ideally we want to see a double wave correction up to the broken trend line on the M15 chart and then go short.
Technical Analysis:
D1 – false break of the down trend line and bounce, bearish divergence
H4 – potential first leg down
H1 – up trend line broken
Entry:
M15 – Look for double wave correction up near the broken H1 trend line in order to go short.
Target 1: 1.3800
Target 2: 1.3730
Stop Loss: above 1.3960
Video Explanation:
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