EURUSD What Are some possible price action development ?

14 Jul 2021

Hi everyone:

Was on vacation and got a cold so was not active on the charts, and posting. But now back and ready for second half of July.

USD pairs in general have been showing strength since mid June, and there are some possible development that I can foresee.

Here on EURUSD, we can see price has already impulse down quite a bit from my previous sell setup, and now approaching to a previous low now.

Certainly a few possibility can develop here:

Ideally, I would like to see price have a sharp lower time frame impulse break below the previous lows, and form continuation correction and look for further sell.

Alternatively, we need to also consider the possibility of a bullish reversal.
If price slowly, and correctively move to the previous lows, and form some sort of bullish reversal price action, then expecting a double bottoms here, and buy setups can form and reverse up.

Either way, its best to be patient here and wait for the development of the price. No need to rush any entries as we are approaching an area where both scenarios are valid.

Thank you