Good afternoon team,
Looks like the USD index has broken to the upside of the head and shoulder formation and retested the new support zone. This tells us the USD may see further upside and the EURUSD may see a deeper correction lower.
EURUSD – 4 Hour Charts
We are now adding a sell position on the EURUSD expecting a fall towards the next key support zone.
Trade Setup: SELL Market execution, current price 1.1211, stop loss 1.1271 and take profit 1.1050.
Stop loss: 60 pips
Take profit: 161 pips
If the EURUSD breaks back above the broken trend line the set up become invalid, therefore we will delete the position.