Hanging man occurred at 1.5500 Resistance level, intercepting the 200EMA and the 0.618 Retracement Zone.
This creates positive sentiment to the creation of a right shoulder. Path of least resistance is Bearish and next significant support zone occurs at 1.5000, creating a nice 3.5:1 Reward:Risk.
Being a Head and Shoulders pattern however and using the applicable techniques we are ideally looking to target 1.4600 for 6:1 R:R trade.
This creates positive sentiment to the creation of a right shoulder. Path of least resistance is Bearish and next significant support zone occurs at 1.5000, creating a nice 3.5:1 Reward:Risk.
Being a Head and Shoulders pattern however and using the applicable techniques we are ideally looking to target 1.4600 for 6:1 R:R trade.
