Following the weak US inflation data, which prompted a 1,200-pip increase in EUR/USD, the pair entered consolidation with clear boundaries. A false breakout of the upper border - 1.06400 - could push it towards the first target at 1.06.
This is 2,000 pips away from the current level and has a risk/reward ratio of 20:1.
To reach this, traders should take short positions in the market, with stop-loss at 1.06423. Exit upon the breakdown of 1.04400.
This trading idea is based on the "Price Action" and "Stop Hunting" methods.
Good luck and have a nice day! Don't forget to control the risks.
