Forex market weekly update 25.06.18
Starting on the weekly chart we can see that price broke this ascending trend line in April of this year and rapidly declined to test the 50 day ema. With 3 weeks of low tests at this area and a doji candle last week I looked for factors to enter this trade with a long position.
Daily chart and we can clearly see these low tests in more detail and what’s presented here is a clear double bottom with bullish divergence. I didn’t make the move based on this, but a break to the upside and a retest of the daily 50 day ema caught my eye.
Moving down to the 4hr and we can add in the 200 day ema and the double bottoms with crazy a amount of bullish divergence indicating that price could be heading up.
I placed a buy limit just above the 200 ema which was filled around 02:00. I will actively manage this trade for profits currently this will be the weekly 200 day ema.