- April 6, 2022
- Posted by: Tradingshot Articles
- Category: Forex
The EURUSD pair got rejected last Thursday on the 1D MA50 (blue trend-line) and as a result it trading today towards the March 07 Low. A new Lower Low within the long-term Channel Up seems imminent as a break below the 1.0810 Low should put the 1.0640 low of the March 2020 COVID melt-down to test.
In fact, the last 1D MA50 rejection was on October 28 2021, which also came after a Double Top. Both sequences are so far identical and if the current continues to replicate that of 2021, then the next Lower Low can be as low as the 2.5 Fibonacci extension at 1.04175. A safe approach for sellers, could be taking profit once the 1D RSI hits the 1 year Resistance Zone.