The EUR/USD pair rose at first during the Thursday session to trigger by orders from the hammer on Wednesday, but by the end of the session we saw a reversal and a shooting star print. Because of this, we think that this market suddenly looks very bearish, and should be sold when rallies appear.
The 1.28 level is the ultimate sell signal for us, and if we get below it we would be aggressively short the Euro. We can see that the market is struggling currently, and as such are not willing to buy the Euro anymore. There is far too much noise above, and as such we do not think that the buyers will have an easy time of it.
Written by FX Empire