Reasons to Short:
The reason why I think is coming down is that in the bigger picture we're looking at a where legs A, B (98%) have been formed so we'll be looking to catch leg C. Although a rare occurrence, Running Flats, where leg C is cut short from it's full completion, they still do form so protect what you have and make sure you trail your stop all throughout the downside.
Now I say on the chart that the 1.2100 level will be broken first before turning for the reason that if you scale down to the 4H chart the pair is forming a from the latest impulse, therefore it will most likely make a last push to break that level and then turn. This also happens to be a classic bank manipulation technique, in order to induce buying pressure and trap retail investors into buying when in reality they will be driving the price back down.
My personal details :
Short @ E: 1.2100, SL: 1.2200, TP: 1.1600, RR: 5
For risk and money management purposes, always determine a max. of 2% risk on every trade.
For example on a $50,000 account, this would be equivalent to 1,25 Lots with an 80 pip stop loss.
Targets and closure of positions may be subject to alteration throughout the course of the trade. This is due to the ever-changing and unpredictable nature of the market.
This post is set to be used and serve as an example and in an educational manner and is not to be taken as direct investment advice.
Don't sell at the bottom now...