Aug 17 2018

Trade idea for the day

EURUSD: An inverted Head and shoulder is formed on the hourly chart of EURUSD, which is in general a bullish reversal pattern. The neckline of the same is at around 1.1400 mark, a valid breakout of neckline will move the pair higher further by 100 pips. RSI(14) is giving a neutral to positive signal.

Our Preference: – Buy above 1.1408

Target – 1.1500

Stop loss – 1.1380

GBPUSD: The direction of price action is getting diverted against the indicator. In price action, lower lows has formed on 4 hour chart while in RSI(14) – the swings of indicator have lower highs in it.

Our Preference: – Buy at 1.2722

Target – 1.2791

Stop loss – 1.2687

USDJPY: On a hourly chart, the pair has formed a symmetric triangle –  with converging highs and lows. at present USDJPY is trying to test the resistance (110.90 to 110.98) of that triangle. Momentum indicators are neutral to positive.

Our Preference: – Sell at 110.95 – 111.00

Target – 110.70-65

Stop loss – 111.08