Reposted from DailyFX.com
Strategy: Short at 1.2993 (avg), Targeting 1.2864
Floating Profit / Loss: -96 pips
We initially sold EURUSD at 1.3121 and added to the position at 1.3026 as the pair completed a Head and Shoulders topping chart formation. A stop-loss will be triggered on a daily close above 1.3378. The near-term downward trajectory remains intact for now, defined by a falling trend line set from the February 29 high and reinforced by a confluence of Fibonacci levels in the 1.3103-1.3156 area. I will continue holding short, initially targeting 1.2864. A stop-loss will be activated on a daily close above 1.3378.
RISK WARNING: Off-exchange foreign currency trading on margin carries a high level of risk and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and, therefore, you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with off-exchange foreign currency trading and seek advice from an independent financial advisor if you have any doubts.