There was an evening star formation off the bearish trend line. Also price is at the second shoulder of what appears to be a H-S. Price just made a third hit to the trend line, hence a good confirmation for bearish trend of the euro. Sometimes the third hit is a fakey, so caution needs to be exercised. Partial profits needs to be secured as quickly as possible or move stop loss to breakeven.
Kommentera:
I wont take the last candle (bullish engulfing) seriously because the trend is down. It may only trigger a temporary bullish move that may not sustain. But because it acted off a support caution needs be to be taken