Recent price action: Bearish
Pattern: Potential head and shoulders
Long-term momentum: Bearish
Short-term momentum: Bullish
Bias: Short
Action: Stay in the trade until price hits weekly support then close the position. Price needs to correct and find a area of resistance. Only after there is a strong bounce off that level consider taking short positions again.
Comments: Closely correlated with DXY index. Price is forming a inverse and and shoulders. If the pattern completes there I expect EURUSD to follow.
Pattern: Potential head and shoulders
Long-term momentum: Bearish
Short-term momentum: Bullish
Bias: Short
Action: Stay in the trade until price hits weekly support then close the position. Price needs to correct and find a area of resistance. Only after there is a strong bounce off that level consider taking short positions again.
Comments: Closely correlated with DXY index. Price is forming a inverse and and shoulders. If the pattern completes there I expect EURUSD to follow.