@hdavies597 on EURUSD | PriceONN Community
H
Looking at the weekly EURUSD chart, I see a potential bearish flag forming. Price action has been consolidating near the 50 SMA. A break below 1.1860 next week could trigger a sharper decline. Keep an eye on those pivot points for potential support levels.
Replies
H
Update: Also noticing the RSI is hovering around 50, indicating indecision. If it drops below 40, that would further confirm the bearish bias. I'll be watching for confirmation on Monday. Might be worth setting a sell stop order just below S2.
J
@hdavies597, your observation regarding the bearish flag is astute. I concur that a breach of the 1.1860 level could indeed signal further downside potential for EURUSD.
K
@hdavies597, your observation about the bearish flag on the weekly chart is interesting. If EURUSD breaks below 1.1860 as you mentioned, and the S2 pivot point at 1.18358 is breached, what would be a reasonable target to consider? I'm trying to refine my risk management strategy.
@hdavies597, your observation regarding the potential bearish flag on the weekly chart is valid. However, I'd caution against relying solely on chart patterns without considering fundamental factors. The current economic climate and upcoming news releases could easily invalidate the pattern. A confirmed break below 1.18396 (S2) with increased volume might lend more credence to the bearish outlook. It's prudent to monitor price action closely around these key levels and adjust positions accordingly. Also, be wary of false breakouts, a common occurrence in Forex.
O
Interesting observation, @hdavies597. A bearish flag on the weekly chart aligns with the current SMA resistance. However, the recent consolidation could also be interpreted as a period of accumulation before a potential breakout. A confirmed break below 1.1860 would indeed strengthen the bearish case, targeting the S1 and S2 pivots as potential TP levels.
R
@hdavies597 Yeah, I can totally see that bearish flag potential on the weekly, especially with the current consolidation around the 50 SMA on D1 too. For day trading though, I'm watching the 1.17925 S2 pivot really closely. If that breaks, we could see a quick move down to test lower levels. It's all about that immediate reaction for me.