Hi Traders!
As you can see the market is moving up and down.
After the market moved lower, it broke out the channel and moved up higher and vice versa.
The upper area is an ascending trendline and the lower level is a normal support.
Now the market is at the upper trendline for the third time and with high momentum.
If the market turns around at the Trendline, it'll bounce back until the support area at 0.96900.
That's what this idea is about.
But if the market breaks out form the trendline, it will retest it, because it hasn't enough power anymore.
It moved from the support all the way up. After the retest there is an oppurtunity to buy.
For now we think the market will fall until the support area (orange).
We recommend to sell the breakout with a risk-to-reward ratio of 1 to 2.5!
Thanks and good luck :)!
As you can see the market is moving up and down.
After the market moved lower, it broke out the channel and moved up higher and vice versa.
The upper area is an ascending trendline and the lower level is a normal support.
Now the market is at the upper trendline for the third time and with high momentum.
If the market turns around at the Trendline, it'll bounce back until the support area at 0.96900.
That's what this idea is about.
But if the market breaks out form the trendline, it will retest it, because it hasn't enough power anymore.
It moved from the support all the way up. After the retest there is an oppurtunity to buy.
For now we think the market will fall until the support area (orange).
We recommend to sell the breakout with a risk-to-reward ratio of 1 to 2.5!
Thanks and good luck :)!