Wait for a pullback to the zone 134.17-133.08 | 04 January 2023

Technical observation

USD did not bounce within the zone 134.17-133.09 but instead it penetrated below it with a big red candle and since then price has continue to rally to the lower side, however, I expect a loss of this downwards movement followed by a correction to the zone I mentioned above and my advice is, remain neutral and wait for a pullback to the zone 134.17-133.09 then sell a bounce within it with your take profit at 103.31 and stop-loss at 140.39.In case of a clear break below the level 103.31 with a big red candle, wait for a correction to it before you continue short with this pair towards the supportive level 76.33.

Trade recommendation

Wait for a correction to the zone 134.17-133.08 to sell USD.