We have two possible options to enter a sell for this setup. Drop to the H1 chart and look for double wave up. At the end of the second wave if you notice a bearish divergence to complete itself with a good bearish candlesticks pattern – go ahead and sell. This is option one.
Second way to enter is to wait for the price to enter the sell zone (the range between the two horizontal lines), draw a trend line (blue dotted line) and once the trend line is broken, wait for the pullback and sell.
First method is a bit more aggressive as we are trying to catch the reversal from its very top but it is offering better risk:reward ratio (not always but most of the times). Second method is more conservative and I recommend you to stick with it! I mention the first option more or less for educational purposes.
Target 1 – 0.9830.
Target 2 – 0.9720.
Stop Loss – above last high created on the H1 chart.
Second way to enter is to wait for the price to enter the sell zone (the range between the two horizontal lines), draw a trend line (blue dotted line) and once the trend line is broken, wait for the pullback and sell.
First method is a bit more aggressive as we are trying to catch the reversal from its very top but it is offering better risk:reward ratio (not always but most of the times). Second method is more conservative and I recommend you to stick with it! I mention the first option more or less for educational purposes.
Target 1 – 0.9830.
Target 2 – 0.9720.
Stop Loss – above last high created on the H1 chart.
