Waiting for a downward reversal

23.02.2021

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Daily chart: the trend potential has slightly increased compared to yesterday’s trading session, but still remains small. This reduces the probability of a breakout of the upper Bollinger band (1.2186). Respectively, a correction from 1.2186 to 1.2092 seems to be a more probable event.

Н4: the upward local potential is also not too high, which gives priority to the option with a price reversal downward from the 1.2190-1.2200 zone. The structure of growth, as we can see, is unstable, so the decline may reach the zones of 1.2092 and 1.1995.

Н1: on the hourly chart the ADX is falling. Therefore, we are waiting for the rework of the 1.2184-1.2190 zone, followed by a downward reversal.

Conclusions: growth to 1.2184-1.2190, then decline to 1.2092.
Trading decisions: sales from the zone 1.2184-1.2190 to 1.2092.