EURUSD: Second Objective Hit on Short Trade
Strategy: Short at 1.3073 (Avg), Targeting 1.2481
Floating Profit / Loss: +496 pips
We initially sold EURUSD at 1.3121 and added to the position at 1.3026. The pair sold off after forming a bearish Harami candlestick pattern at trend line resistance and we revised our stop-loss and target levels after the decline met our initial objective. Prices have now closed below our second downside threshold at 1.2674 and we will revise the stop-loss further to be triggered on a daily close above 1.2865, aiming for the next downside barrier at 1.2481. Importantly, emerging positive RSI divergence warns that the risk of a corrective upswing is rising.
--- Written by Ilya Spivak, Currency Strategist for Dailyfx.com
To contact Ilya, e-mail firstname.lastname@example.org. Follow Ilya on Twitter at @IlyaSpivak
To be added to Ilya's e-mail distribution list, send a note with subject line "Distribution List" to email@example.com
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.