FOREX CHART ANALYSIS JUL 21 - NEW TARGETS
- During a meeting on Monday at the White House, Republican legislators and the government said they were making progress on the new law aimed at reducing the heavy economic damage of the pandemic.
- Preliminary data from the trials of three potential COVID-19 vaccines published on Monday, including a closely watched "candidate" from the University of Oxford, increased trust. that the vaccine can "train" the immune system to recognize and combat new coronaviruses without serious side effects.
- It has been reported that the UK has signed an agreement for 90 million doses of the Covid-19 vaccine, ensuring the opportunity for the people of the country to have access to the vaccine when it is successfully prepared. In addition, the UK housing market enjoyed a small boom after the blockade was lifted and the July tax cut.
After a sharp rebound at the beginning of the day, the rally was exhausted and could not break the neckline, so it was impossible to complete a two-way reversal pattern. The current signals are unclear, so we should avoid trading when the price is in the middle of the range. Continue to observe price action, especially at the top and bottom regions of the range.
Prices have moved in a more unfavorable direction for the sellers. Although there is a further bearish engulfing pattern on the H4 chart, the peak is continually tested. With the current situation, you should only maintain the old short exploration command without adding new ones. Stop Loss should be above the 1.15 zone. We will abandon the selling view when this price zone is broken. In case the price falls and penetrates the neckline of the double bottom pattern, it may be advisable to consider adding a short order. The target is the bottom of the range.
The price failed to penetrate the 1.25 area and rebounded to retest the 1,268 zone. This is the confluence of strong resistances including the day MA200 line and the downtrend line since the end of last year, but not so long ago it was tested once, so don't rush to sell. breakout. In summary, there are two scenarios for this price range: If there appear noticeable bearish signals and the upside momentum is lost, consider short positions. On the other hand, if the price makes a clear breakout of 1.268, consider long positions when the price retests.
The price once again returned to test the zone of 1.35. We must be ready to short when there is a breakout of this price zone. As a reminder, 1.35 is the trigger price area for short positions following the wedge pattern formed earlier.
Price has not changed much, still accumulating around the peak of 0.702. Keep the short probes, don't add new ones at this time, add the short position when the price breaks the bottom of 0.692, and abandon the view to decrease when the resistance of 0.702 is completely broken.