Wait for a correction to sell USD | 16 July 2021

Technical observation

USD declined up to the supportive zone 109.71-109.66 as I had predicted yesterday but could not break below it, it bounced above the zone and is currently trading with an increasing bullish bias. This bullish movement is a retracement to the resistance level 110.75 and I expect a loss of it at the line for a momentum to the lower side. My advice, remain flat and wait for a correction to the line 110.75 and a rejection at it to sell USD with your take profit at 109.71. In case of a clear breakout below the zone 109.71-109.66 with a big red candle, I expect price to surge to the lower side towards the supportive zone 108.42.

Trade recommendation

Wait for a correction to the zone 109.71-109.66 to sell USD.