EUR/USD SELL - 31/10/2017

٣١ أكتوبر ٢٠١٧

As expected, EUR / USD corrected upwards after the rapid price fall last week. The upward price movement was smooth and on small volume, which cannot be regarded as a market reversal or a bullish signal. Moreover, two levels of resistance remain at the top of the chart: the first is 1.1692- 1.1705 and the second is 1.1740-1.1760. Both levels contain large volume, so they are excellent places to put stop losses above them. Thus, given the sharp fall of the price last week and the presence of 2 strong resistance levels, it is necessary to give preference to short positions for this currency pair. Sales should be opened after the resumption of the price fall, it is desirable if it is supported by increased/large volume, which would be a stronger signal. A stop loss should be placed above the level of 1.1705. The potential of the deal is more than 120 points.

The bottom line: short positions after a resumption of the fall.