The pair EURUSD reached 1.19000 for the first time in 2 years. This level can be a starting point for further downward movement. The daily chart gives us a bearish engulfing candlestick pattern confirming price reversal. Also if we switch to the weekly chart, we’ll see a shooting star which is also belong to reversal group of candlestick patterns. RSI is in the overbought zone and also confirms price reversal . We have a sell opportunity.
We should place pending orders for sell below 1.17200 with stop orders above 1.19200 level. Profit target can be at the support zone formed by the trend line of the ascending price channel and 1.15500 support level. Short trades will be opened against the main upward trend but based on solid reversal signals. If the market does not drop within several days, it will be better to close the short trades manually. Recommended risk size for this trade is up to 3% from your deposit.
Profit Targets: 1.15500