The price around 1.5300 marks the upper limit of the consolidation pattern above 1.5075. Hence, formation of a lower high around 1.5220, followed by breakdown below 1.5075, is enhancing the bearish sentiment of the market.
The bearish breakout, which took place two weeks ago, achieved its target at 1.4880 where significant bullish rejection was demonstrated in the bullish daily hammer candlesticks, which was followed by strong bullish movement towards 1.5070 again.
Also the daily closures, which were observed during the last two week, imply the continuation of the sell-off afterwards, provided that the pair remains below 1.5155-1.5220 (major supply zone). That is why, retesting of this zone which is taking place now provides a valid SELL entry with SL located just above 1.5250.
On the hourly chart, the pair is demonstrating a Head and Shoulders reversal pattern which becomes confirmed by breakdown below 1.5070 to target 1.4970 initially.
