Like the EURUSD, This pair is in the process of forming a head and shoulder pattern!
Once the pattern is complete a break to the downside would be on the cards. Furthermore the weekly EMA 50 would also be violated in the process thus reducing the amount of support levels in the process. Once the neckline is broken i will wait for the retest of either the weekly 50 EMA or the neckline itself before i place the trade.
It might take a few weeks for the pattern to complete but its worth the wait as its a high probability pattern and the risk reward might be 1:2 or 1:3.
I will update this thread later in the future shall the criteria meet.
Once the pattern is complete a break to the downside would be on the cards. Furthermore the weekly EMA 50 would also be violated in the process thus reducing the amount of support levels in the process. Once the neckline is broken i will wait for the retest of either the weekly 50 EMA or the neckline itself before i place the trade.
It might take a few weeks for the pattern to complete but its worth the wait as its a high probability pattern and the risk reward might be 1:2 or 1:3.
I will update this thread later in the future shall the criteria meet.
