EUR / USD declined very sharply in the past days. Unsurprisingly, it bounced back by roughly half of the previous movement, opening a good opportunity to take new short positions. This is likely to provoke another decline to below the yearly low located just above the round level of 1.15.
The chart clearly shows that there are three wave patterns (ABC), where wave A represents the selling pressure last Friday. So, using Price Action and Stop Hunting, bearish traders should sell from 1.16100 to the 50% retracement level. Place stop loss at 1.16500 and take profit on the breakdown of 1.15200
Good luck and have a nice trading day!
