EURUSD: Head and Shoulders Top Back in Play
Strategy: Short at 1.3073 (Avg), Targeting 1.2864
Floating Profit / Loss: +11 pips
We initially sold EURUSD at 1.3121 and added to the position at 1.3026. As we suspected last week, prices declined after putting in a bearish Harami candlestick pattern. The pair now appears to be carving a Head and Shoulders top once again, with a daily close below neckline support at 1.3025 confirming the setup. We will remain short, aiming for an initial objective at 1.2864 for now. As before, a stop-loss will be activated on a daily close above 1.3378.
--- Written by Ilya Spivak, Currency Strategist for Dailyfx.com
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