In that price is now trading just above a 4hr demand area at the moment, would this be a tradable zone going into today’s sessions? In favor of going long from here, we have the following noted:
1. pattern completion point around the 123.12 mark – see red arrows.
2. Psychological support coming in at 123.00.
3. Positioned just above daily demand at 122.15-122.86.
The above points, in our opinion, are not enough to set a pending buy order at the current 4hr demand since the following may play against a buy in this market:
1. There is space for price to move lower on the down to the weekly swap (demand) area at 122.01-121.40.
2. The daily (see above) positioned just below our current 4hr demand area may act as a magnet to price – one would need to at the very least to expect a fakeout lower.
So, with the above in mind, our team has decided that once/if price reaches the aforementioned 4hr ; our current short position will be closed and we’ll begin watching the lower timeframes for CONFIRMATION to enter long.
Levels to watch/ live orders:
• Buys: 123.00-123.23 Tentative – confirmation required (Stop loss: dependent on where confirms this area).
• Sells: 123.901 LIVE (Stop loss: still currently at breakeven).