Euro dipped in price after the Fed kept interest rates unchanged, but hinted at potential rate hikes in the succeeding months. The movement created an interesting liquidity zone for buyers, which can be advantageous to capitalize on.
Having a three-wave pattern (ABC), where wave A represents yesterday's bearish momentum, traders could open short positions with a 38.2% retracement based on the Fibonacci levels. Limit the risks at 1.0865, and then take profit upon the breakdown of 1.08
The trading idea came from the framework of the "Price Action" and "Hunt for Stops" strategies.
Good luck in trading and manage your risks. Have a great day ahead!
