Remain short towards 1.1214. | 06 February 2019

Technical observation

For the past two days, EUR has been moving on an increasing bearish momentum and i still expect more of this movement towards the support 1.1216 and a possible breach below it for a further decline in price. In case you sold this pair within the resistance zone 1.1506-1.1473 you can hold on to that position with your take profit at 1.1216 and stop loss at 1.1622.As long as EUR is contained below the zone 1.1506-1.1473 only short positions look ideal and may be recommended. Long positions may only be advisable should there be a clear penetration above 1.1506-1.1473 with a big green candle followed by a pullback to it and a bounce within it.

Trade recommendation

Remain short towards 1.1214.