This is an irritating one I think. There is definitely an opportunity to sell here. Just can't be certain exactly when. If you sell too early there could be a risk of panicking and closing too early. Sell too late, and you miss out on an opportunity. I guess that's just how it goes sometimes. Keep your emotions out of it. The European Union consumer price index is released at 10am tomorrow (20/01/2021) which will reveal enough. If this is at or below the estimated value the Euro will fall. Im also expecting the USD to break out into a reversal to a bullish trend in the USDJPY any way. If this happens it will be an interesting correlation.
Would be interested to hear your thoughts?
Again Ill reitterate I only do these analyses to educate myself and to discuss my ideas with others whom I may be able to learn from. Trade at your own risk.
UPDATE: Now that the price has broken out of previous down trend, it has become apparent that scenarios 2 or 3 are likely to occur. This presents 2 possible opportunities. There is an opportunity to buy setting TP to previous levels of resistance. Followed by a potential short later down the line- let's wait and see...