So coming from the Year long downtrend of the Euro starting from May 2014 to about June 2015, the moves since then could either be seen as correction before the downtrend continues or a reversal of the trend. Seeing that the price is now above both the 100 & 200 MA, I’m inclined to go long on this one.
Waiting patiently for the entry at the bottom of the trend line hopefully the Sunday open doesn’t disappoint. Also a stop of at least 75 pips is required for entry as price could go down to the psychological line of 1.1200 (which is also an area of confluence with the 200 MA), where another entry to buy could be placed.
Thanks for the comment, I agree (once one takes into consideration the wick) and this should have been considered at time of analysis. I have also since reconsidered the trade based on the steepness of the trend line. I am still bullish, however would wait for a lower price such as along the base trend line before entering.