This currency pair has gone up high enough and according to the AB=CD reversal pattern in the daily chart, it’s time sell short. Our sell short entry can be based on two time frames. You can either short it based on the 4-hour chart or on the hourly chart.

AB=CD Pattern

In the 4-hour chart, if the price closes below the blue line, sell short at market price. Take profits at 1.0465 or manage your trade and target each fib retracement.

4-hour chart, sell short setup

We have a similar setup in the hourly chart. If the price closes below the blue line, that’s a sell short for me. Targets are 1.0535 and 1.0415.

1 hour chart, sell short setup.

Set your stop loss price at 1.0730. Move stop to breakeven on 60pips profit. Good luck!

Disclaimer:
Foreign exchange trading and investment in derivatives can be very speculative and may result in losses as well as profits. Foreign exchange and derivatives trading entails a considerable risk factor and is therefore not suitable for every investor. Absolute Traders does not take into account special investment goals, the financial situation or specific requirements of individual users. Hence, you should carefully consider your financial situation and consult your financial advisors as to the suitability of your situation prior to making any investment or entering into any transactions.