EUR / USD
Time frame: H4
Technical analysis: Following the statement by Mario Draghi, the euro went south. He managed to make a new yearly bottom at a price of 1.1174 and now it is about to recover all of his losses from last week. It should not be forgotten that the pair is in a long-term downward trend, and therefore sales of higher values will be more likely. The chart shows that the price has entered a new downward trend channel and it is currently about to test its resistance. At the same time, 200 EMA is about to merge with the diagonal trend line, which is an additional indication that the mood of the market will move south again.
Indicators: The price is below 200 EMA, and it plays a role of strong resistance.
The price is over 50 EMA, and for now it has a role of support.
DeM - is over-sold, which supports the "sell" scenario.
Aggressive entry into a deal: Sell Limit at 1.1330.
Conservative entry into a deal: After a 200 EMA test, diagonal resistance and a price action formation that will suggest a reversal of direction.
SL: 1.1370
Alternative Scenario: If the price breaks the 200 EMA + diagonal resistance it will continue to rise.
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