We're flat | 21 September 2021

Technical observation

USD has been rising steadily toward the resistance zone 109.74-109.71, this upwards movement is a retracement to the zone I have mentioned above and I expect a rejection of price within it for a rally to the lower side. My advice, remain flat and wait for a correction to the zone 109.74-109.71 then pick short positions within it after a bounce with your take profit at 109.35 and stop loss at 109.87. In case of a break above the supportive level 109.35, I expect a surge towards the level 109.10. On the hourly chart above as long as price is contained below the zone 109.74-109.71, I can only recommend short positions for this pair.

Trade recommendation

Remain flat.