Trading plan for EURUSD for August 16, 2019

analytics5d55fb317c275.jpg

Technical outlook:

The euro continues to slide down for now with immediate highs still in place at 1.1240 levels. The drop from 1.1229 through 1.1090 yesterday could be seen as 5 waves at a lower degree. There could be a potential pullback towards 1.1160 before continuing further. Ideally, the direction remains bearish until prices remain below 1.1240 for now. An alternate scenario could be a quick rally towards 1.1260 (Fibonacci 0.618 resistance) and then a bearish reversal would continue. Price resistance remains intact at 1.1285/90 and 1.1412 respectively. A safe trading strategy would be to remain short and also be prepared to sell on rallies towards 1.1260 with a risk above 1.1290 mark. A drop below 1.1075 would be a confirmation of a continued downtrend and eliminate the alternate scenario.

Trading plan:

Remain short for now, stop remains at 1.1290, target is open below 1.1020

Good luck!

The material has been provided by InstaForex Company - www.instaforex.com