The false breakdown in EUR/USD on Wednesday signals the imminent decline of the pair. Buyers are also accumulating positions under the technical support at 1.05700, which is a good reason to short the pair.
Now, there is a three-wave pattern (ABC), in which wave A represents the pressure on Wednesday. This means that traders could enter the market by selling up to the 61.8% and 50% retracement levels, with stop loss at 1.06750. Exit the market upon the breakdown of 1.05700.
This trading idea is based on Price Action and Stop Hunting methods.
Good luck in trading and have a nice day! Don't forget to control the risks.
