Since the conflict began, EURO has been the worst performing currency! Now with the conflict continues to inflict pain on the European economy, we can expect the EURO to keep weakening. Against the safehaven CHF, it hit parity not so long ago and with the SNB not hinting at any intervention in markets, it is likely that this pair breaches parity and keeps heading lower.
With the fundamental factors strongly against the EURO, lets look at the technical part. Firstly there is the main talking point, the 1.0000 parity psychological support that needs to be cleared in order for the likely downtrend resumption. For this to happen, the monthly candle needs to close below 1.0000 mark. This would give this trade a high probability that indeed the price wants to head lower.
The above main criteria must be met. Looking at other things, there is a steep descending trendline on weekly charts that would likely guide the price to its next support found at 0.97000 level. Have a look at the trade details below:
TRADE TYPE: SHORT SWING TRADE
STOP LOSS: ABOVE THE TRENDLINE AT 1.03000 (1:1 RR)
ENTRY: 1.0000 (AFTER THE M CANDLE CLOSES BELOW PARITY, A RETRACE MOVE TO RETEST THE BROKEN SUPPORT MUST BE AWAITED)
TAKE PROFIT: 0.97000 SUPPORT VISIBLE ON THE WEEKLY CHARTS
The main criteria must be met first at all costs for this trade to be valid. Have a look at the main chart for complete observant info. Trade safely
Cheers, I hope you find this insight helpful. Please Like & Follow for more insights into Major & Minor currency pairs.
With the fundamental factors strongly against the EURO, lets look at the technical part. Firstly there is the main talking point, the 1.0000 parity psychological support that needs to be cleared in order for the likely downtrend resumption. For this to happen, the monthly candle needs to close below 1.0000 mark. This would give this trade a high probability that indeed the price wants to head lower.
The above main criteria must be met. Looking at other things, there is a steep descending trendline on weekly charts that would likely guide the price to its next support found at 0.97000 level. Have a look at the trade details below:
TRADE TYPE: SHORT SWING TRADE
STOP LOSS: ABOVE THE TRENDLINE AT 1.03000 (1:1 RR)
ENTRY: 1.0000 (AFTER THE M CANDLE CLOSES BELOW PARITY, A RETRACE MOVE TO RETEST THE BROKEN SUPPORT MUST BE AWAITED)
TAKE PROFIT: 0.97000 SUPPORT VISIBLE ON THE WEEKLY CHARTS
The main criteria must be met first at all costs for this trade to be valid. Have a look at the main chart for complete observant info. Trade safely
Cheers, I hope you find this insight helpful. Please Like & Follow for more insights into Major & Minor currency pairs.
