Trade Idea : EUR/USD – Sell at 1.1830

EUR/USD – 1.1789

Most recent candlesticks pattern   : N/A

Trend                      : Near term up

Tenkan-Sen level              : 1.1787

Kijun-Sen level                  : 1.1809

Ichimoku cloud top             : 1.1870

Ichimoku cloud bottom      : 1.1854

Original strategy  :

Sell at 1.1810, Target: 1.1710, Stop: 1.1845

Position : –

Target :  –

Stop : –

New strategy  :

Sell at 1.1830, Target: 1.1730, Stop: 1.1865

Position : –

Target :  –

Stop : –

As the single currency found support at 1.1728 after dropping sharply on Friday, suggesting consolidation above this level would be seen and recovery to the Kijun-Sen (now t 1.1809) cannot be ruled out, however, reckon previous support at 1.1830 would limit upside and bring another decline later, below 1.1750 would bring test of 1.1723-28 (previous support as well as 61.8% Fibonacci retracement of 1.1613-1.1910), break there would add credence to our view that top has been formed at 1.1910 last week, bring further fall to 1.1700 but reckon support at 1.1650 would hold. 

In view of this, we are looking to sell euro again on recovery as 1.1830 previous support should limit upside. Above the lower Kumo (now at 1.1854) would defer and risk a stronger rebound to 1.1870 but price should falter below said last week’s high at 1.1910, bring another decline later.