Few weeks ago, a bullish Head and Shoulders reversal pattern was demonstrated around 1.1200.
This enhanced further bullish advancement towards 1.1300-1.1315 (supply zone) where significant bearish rejection was demonstrated on April 15.
Short-term outlook turned to become bearish towards 1.1280 (61.8% Fibonacci) then 1.1235 (78.6% Fibonacci).
For Intraday traders, the price zone around 1.1235 (78.6% Fibonacci) stood as a temporary demand area which paused the ongoing bearish momentum for a while before bearish breakdown could be executed on April 23.
Currently, the price zone around 1.1235-1.1250 has turned into supply-zone to be watched for bearish rejection.
Few days ago, another recent bullish head and shoulders pattern was being demonstrated around 1.1140 on the H4 chart.
That's why, conservative traders were suggested to wait for another bullish pullback towards 1.1230-1.1250 where a valid SELL entry was suggested.
On Friday, the market has failed to sustain bearish pressure below the price Level of 1.1175.
That's why, another bullish pullback was expected to occur towards the depicted SELL zone around 1.1235.
However, the EURUSD pair found great bearish rejection around 1.1200 - 1.1210 which brought the EURUSD pair down towards 1.1175 again.
Trade recommendations :
Conservative traders should wait for an obvious H4 bearish closure below 1.1175 for a valid SELL entry.
S/L should be placed around 1.1200.
Initial Target levels should be located around 1.1135 and 1.1080.
