We broke through the flag pattern and could now be starting a new impulse wave down.
First hurdle to take will be the longterm "up" trendline. If we break through that one I will be looking to short this pair after a possible re-test of the broken trendline.
Since everyone expects a nice rejection at the parity level we will probably not get it... We might instead just push right through that 1.0000 psych level. Every broker in the world perfectly knows where all stops will be and I'm guessing they will be pushing hard to bash right through that level, taking the majority of stops out, easy money I would say...
For me, first point to get back long (on this timeframe anyway), if all this plays out... , will be where an harmonic move would end, target a re-test of the broken longterm up trendline.
The short trade will only be entered after confirmation (all is still possible!), I will set a buy limit order for the long trade if we ever get below that trendline.
First hurdle to take will be the longterm "up" trendline. If we break through that one I will be looking to short this pair after a possible re-test of the broken trendline.
Since everyone expects a nice rejection at the parity level we will probably not get it... We might instead just push right through that 1.0000 psych level. Every broker in the world perfectly knows where all stops will be and I'm guessing they will be pushing hard to bash right through that level, taking the majority of stops out, easy money I would say...
For me, first point to get back long (on this timeframe anyway), if all this plays out... , will be where an harmonic move would end, target a re-test of the broken longterm up trendline.
The short trade will only be entered after confirmation (all is still possible!), I will set a buy limit order for the long trade if we ever get below that trendline.
