Technical outlook and chart setups:
As seen here, the single currency pair has been within the cone consolidation wave structure since last several trading sessions. The current rally towards sub 130.00 levels, seem to be the last one, before giving it up. It is recommended to remain short for now and add fresh positions if possible. Resistance is at 130.50/60 and 131.00, while support is around 128.00 and 125.00, respectively. As shown here by arrows, the current rally is wave 4, and wave 5 should be the breakdown leg normally. The breakdown should potentially bring prices below 125.00, towards 123.00 at least. Bottom line: Selling rallies should remain the trade mantra for now.
Trading recommendations:
Hold on to short positions and sell intraday rallies. Stop is at 131.30 and target is open.
Good luck!
