Trade Idea: EUR/USD – Sell at 1.3095 , Mar 04 2013

Candlesticks and Ichimoku Intraday | Written by Action Forex | Mar 04 13 07:11 GMT

EUR/USD – 1.2997

Most recent candlesticks pattern  : Shooting star

Trend                                                 : Down

Tenkan-Sen level              :1.3010
Kijun-Sen level                 :1.3034
Ichimoku cloud top              :1.3105
Ichimoku cloud bottom          :1.3087

Original strategy                              :

Sell at 1.3095, Target: 1.2970, Stop: 1.3130

Position: -
Target:  -
Stop:-

New strategy  : 

Sell at 1.3095, Target: 1.2970, Stop: 1.3130

Position: -
Target:  -
Stop:-

Euro’s recovery after last week’s selloff to 1.2967 suggests consolidation would be seen and above resistance at 1.3040-45 would bring retracement to the Ichimoku cloud bottom (now at 1.3087), however, the upper Kumo (now at 1.3105) should limit upside and bring another decline later, break of said support at 1.2967 would extend recent decline from 1.3711 to 1.2963 (1.236 times projection of 1.3434-1.3146 measuring from 1.3319) and then 1.2950, however, near term oversold condition should prevent sharp move below 1.2920-25 and reckon 1.2900 would hold from here.

In view of this, we are looking to sell euro on recovery. Only a firm breach above upper Kumo (now at 1.3105) would suggest low is possibly formed but break of resistsance at 1.3163 is needed to confirm.