Trade Idea: EUR/USD -Exit Short Entered at 1.4000 and Sell at 1.4020

EUR/USD - 1.3948

Most recent candlesticks pattern : N/A
Trend : Sideways

Tenkan-Sen level : 1.3921
Kijun-Sen level : 1.3942
Ichimoku cloud top : 1.4051
Ichimoku cloud bottom : 1.4015

Original strategy : Sold at 1.4000, Target: 1.3850, Stop: 1.4055

New strategy : Exit short entered at 1.4000 and Sell at 1.4020, Target: 1.3900, Stop: 1.4070

Although the single currency rallied from yesterday's low of 1.3832 to as high as 1.4008 in New York on cross-buying and one more rise to 1.4017 (50% Fibonacci retracement of 1.4202 to 1.3832), as we are still treating this move is retracement of the decline from 1.4202, calculated resistance at 1.4061 (61.8% Fibonacci retracement) should cap upside and bring another selloff tomorrow.

In view of the above analysis, we are exiting our short position entered at 1.4000 with over 50 points profit and look to sell euro again on next rise.

On the downside, if price drops below 1.3890/92 minor support, this would confirm top has been formed and bring further fall to 1.3826/32 support, then towards 1.3747 which is likely to hold.