EURUSD – Sells Off From Key Resistance (4hr chart)
We’ve been talking about being bearish price action and potentially selling near the key resistance and FOMC spike highs for a few days now. Today the Euro hit that same resistance zone before some late day selling pressure sent the pair about 130 pips lower.
For those members who traded this and sold at the key level, you’d be up a nice profit now.
As you can see from the chart below, I am currently short this pair with a tight 33 pip stop and up about +3R, showing once again good trades do not take long to profit. For those also short with a tight stop, I’d suggest taking some profit off the board and neutralizing the risk.
Downside targets are the days lows at 1.0909 with the intention of targeting the recent swing lows around 1.0750. If the pattern holds of building a series of higher lows, then 1.0825 could be the next base before the bids step in.
Also in our members commentary today, we cover the GBPUSD, USDCHF, USDCAD, EURGBP & GOLD. Click here to become a member.