Good afternoon, dear traders. I present to you a trading idea for the EURUSD pair.
So, after the "unexpected" decrease in the interest rate on USD, the EUR/USD pair stopped growing, forming an interesting auction with a clear lower border.
D1:
M30:
It is worth noting that the decrease in the rate had a very weak effect on the EUR/USD pair, but the buyers for this day are still in the market, and their risks are quite easy to calculate, as indicated in the chart. Imagine if you bought an instrument at a rate, and besides the quotes 1.10940 (minimum of Tuesday and Wednesday), you have nowhere else to put a stop. And on a strong bullish trend, this means a buyers trap, which is likely to close soon. Many buyers also hope for a mirror level (see the first figure).
After the breakdown, you need to carefully monitor the behavior of the players. With a false breakdown, we can immediately fly away at 1.12500. If the breakdown is true, then you can count on purchases from 50% of the weekly impulse in the region of 1.1 (see the first chart).
Success in trading and control the risks!
