Utilizing DOW theory to spot the trend and find out the best possible entry with candle stick patterns and support and resistances with Fib levels.
Looking at the 4h timeframe, instrument is not making more higher highs (HH=1.39775), confirmation of the downtrend from series of LH,LL. Also there is a confirmation of bearish trend from bearish engulfing candle pattern. Hence a possible short position is there with stop loss a little above resistance previous LH.
Risk 2%
Reward/Risk : 2
Buy zone : 1.34 -1.33
STOP Loss :1.35750
TP1: 1.30960
Tp2 : 1.29
Looking at the 4h timeframe, instrument is not making more higher highs (HH=1.39775), confirmation of the downtrend from series of LH,LL. Also there is a confirmation of bearish trend from bearish engulfing candle pattern. Hence a possible short position is there with stop loss a little above resistance previous LH.
Risk 2%
Reward/Risk : 2
Buy zone : 1.34 -1.33
STOP Loss :1.35750
TP1: 1.30960
Tp2 : 1.29