4hour chart is showing a wedge and it strongly reversed down. It is now in process of testing the top again. It is a good place for double top than breakout so it offers good risk reward ratio here.
Sell in the region of 1.118X with SL at 1.1210. target area is 1.1120 and 1.1080.
the market might make some highs. use a fib retracement on the daily to get a longer term view.
ktscalpersking
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When ther eis a trend, there is always a possibility for a further high. But we have to see in the context. Market is below top of 4weeks trading range and did not have any conviction to break above. This shows that bulls are not confident and are quick in taking profits. So, if the trend was strong (at this stage) then bulls would be holding on their trades and looking to take profits higher. Trends never reverse like inverted V so they slowly transition into TR. This is what happened today. I expected a leg up and that is the reason I gave the region but it just touched the bottom of the region and going down.
Fib are just numbers and I don't pay any attention to Fib. I have my own rules for retracements but to make it easy for you to understand, I only pay attention to 50%, 75% and 100% retracements I am price action trader and I don't use any indicators as charts tell me everything I need to know. BTW, markets retrace and extend up and down all day without respecting Fib levels.
ktscalpersking
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If current 4hr bar close below 1.1163 then IMO that will be a signal bar to go short below it. If that doe snot fit your criteria for risk:reward then you can take a slight risk approach and place pending short order around the middle (50% retracement :-)) of this bear signal bar (provided it close at 1.1163 or below.
ktscalpersking
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To qualify as a signal bar, it need to close below 1.1166 as a minimum otherwise it is a weak signal bar.