(Click on the chart to enlarge it)
On Oct 23th prices hit the top of a major Bullish Channel at 1.5060 and formed a nice Bearish Engulfing Pattern with all oscillators (MACD, RSI and Stochastics) showing very clear Bearish Divergences. All that made prices dropp 400 pips to then correct and form a nice Spinning Top on Nov 05th, showing indecision. The Bearish Engulfing Pattern the next day on Nov 06th reinforces that a major Bearish trend might resume.
So my strategy is:
*) if prices open this week and remains below 1.4850, I´ll SELL SHORT at any resistance below 1.4810. I´ll add lots below 1.4774 and 1.4755. LIMITS are 1.4684 and 1.4632
*) If I´m wrong I´ll enter LONG at break of 1.4914, watching very closely to filter out a possible false breakout
