From the setup above we can see price is clearly on a downtrend on higher timeframes. We had a little bit of bullish pullback to previous level of supply. This was a 61.8% retracement on the Fibonacci level which aligned with the descending trendline. We have more than 3 confluences to look for sells from current price
- Bearish trend still obvious
- Price failed to create a new high
- Rejected 61.8 Fib level
- 4hr break of structure
- Bounced off the descending trendline
To go short on this trade, our Stop loss will be placed few pips above the trendline (1.50000). Our first take profit would be targeting the recent low where priced bounced to the upside (1.44000). Second TP will be at 1.40000.
We are looking at a 450 pip swing take profit for TP1 and 800+ pip for TP2. This is a swing setup, apply risk management 💙
- Bearish trend still obvious
- Price failed to create a new high
- Rejected 61.8 Fib level
- 4hr break of structure
- Bounced off the descending trendline
To go short on this trade, our Stop loss will be placed few pips above the trendline (1.50000). Our first take profit would be targeting the recent low where priced bounced to the upside (1.44000). Second TP will be at 1.40000.
We are looking at a 450 pip swing take profit for TP1 and 800+ pip for TP2. This is a swing setup, apply risk management 💙