we are flat | 10 January 2022

Technical observation

Last week USD traded above the zone 114.81-114.34 with an increasing bullish and this week I expect either a continuation of this upward movement or a correction to the zone mentioned above. In case price continues upwards remain neutral with this pair and wait for a correction to the broken zone then buy a bounce within it with your take profit at 123.23 and stop loss at 112.53. Should there be a clear penetration above the resistance level 123.23 with a big green candle further bullish movements of this pair can be anticipated after a correction to the broken line. As it is on the chart above, as long as price is sustained above the zone, 114.81-114.34 I expect nothing but a surge to the upper side.

Trade recommendation

Remain flat.