Price has hit the Monthly R1/Weekly R3/Kumo Cloud conflunce resistance
and is showing signs of respecting this level, at a first test. The daily and
Monthly Clouds approximately coincide which adds resistance at this level.
On th Monthly chart price is yet to make a proper close inside the Kumo Cloud.
A reversal candle on daily might be traded to the downside, but the Weekly
trend is strongly bullish so one has to step cautionsly if shorting, perhaps
removing risk asap. Personally I prefer the upside as price has made a buy
signal Ichimoku on the H4 tf, and is looking strong there. A retest of the
Cloud on H4 may be an opportunity to enter on the longside hoping for
resumption of the bullish trend on daily timeframe (as in regard to the
Ichimoku system). Overall the situation is somewhat double edged and
the conservative bullish trader should just wait for a buying signal on the daily
timeframe for a long entry or if you are a bear, look for a sell signal,
perhaps using a candle stick or lower time frame signals. Else wait for
things to become clearer. The US stocks are halting and question is of
course if there will be a deeper correction or not, it will greatly affect this
pair.
and is showing signs of respecting this level, at a first test. The daily and
Monthly Clouds approximately coincide which adds resistance at this level.
On th Monthly chart price is yet to make a proper close inside the Kumo Cloud.
A reversal candle on daily might be traded to the downside, but the Weekly
trend is strongly bullish so one has to step cautionsly if shorting, perhaps
removing risk asap. Personally I prefer the upside as price has made a buy
signal Ichimoku on the H4 tf, and is looking strong there. A retest of the
Cloud on H4 may be an opportunity to enter on the longside hoping for
resumption of the bullish trend on daily timeframe (as in regard to the
Ichimoku system). Overall the situation is somewhat double edged and
the conservative bullish trader should just wait for a buying signal on the daily
timeframe for a long entry or if you are a bear, look for a sell signal,
perhaps using a candle stick or lower time frame signals. Else wait for
things to become clearer. The US stocks are halting and question is of
course if there will be a deeper correction or not, it will greatly affect this
pair.