Looking to sell within 110.38-110.31 | 23 July 2021

Technical observation

USD rose to the resistance zone 110.38-110.31 and it is currently trading with an increasing bullish bias below it; I expect a loss of this bullish movement within the zone followed by a decline to the supportive level 109.62. My advice, remain flat temporarily and sell a bounce within the zone 110.38-110.31 with your take profit at 109.62 and stop loss at 110.80. In case of a penetration below the level 109.62 with a big red candle, I expect price to plummet further to the lower supportive level 108.62 after a correction to the just broken line and a bounce at it. As long a price is contained below the zone 110.38-110.31, only recommend short positions.

Trade recommendation

Remain flat temporarily.