A little background on myself, i used to trade forex for roughly 3 years from ages 16-19 through highschool.
I use price action trading strategies to set my buy ins and sell outs. I favor bull trading more than shorting.
I got into crypto-currency trading but that doesn't satisfy me as much as forex does!
It's great to be back and trading through meta trader.
Moving on, i am taking a look at pairs USDEUR and i feel like i caught the graph in a great position.
In my opinion it is right on the last support line! If this support is broken i feel that the next bottom would be the highlighted level under current placement.
When i take a look at the i can see that it is oversold.
I take a look at the price action years back where we were in the same position we are now before dipping to .60.
The difference i could see then from now would be that back then in 2005 the graph was almost on the overbought area however now we are on the undersold.
Another difference i could see is back in 2005 the and chart value were not adding up showing a convergence, giving a hint it would drop below the .
The leverage on this trade would be 1:1, which is usually a trade you wouldn't go into, however i don't think the currency will devalue but appreciate in vaule.
If it does go down you would be losing as much as you could make, but i will be going in on this trade.
I see no sign of a convergence here but a push back to .90, and break out or retracement.