📉 EUR/USD – Bearish Breakdown from Rising Wedge | Short Setup
Pair: EUR/USD
Timeframe: 1H (Hourly)
Date: May 27, 2025
Author: ScalpTraderPro
🔍 Technical Analysis:
EUR/USD has recently formed a rising wedge pattern, a classic bearish reversal formation. This pattern is typically a sign of weakening bullish momentum and is often followed by a breakdown, especially when accompanied by strong resistance near the upper boundary.
The price has respected the upper and lower trendlines of the wedge consistently, indicating a well-formed structure.
Today, the pair broke below the lower trendline of the wedge with increased bearish momentum.
The breakdown is a potential signal that the pair may be heading lower in the coming sessions.
📌 Trade Setup:
Entry: Market entry near 1.13348 after wedge breakdown confirmation.
Stop Loss: Positioned above the wedge and previous resistance at 1.14240, just above the recent high to protect against false breakouts.
Target: 1.11853 – This level is based on previous support zones and aligns with the measured move target from the wedge height.
📈 Price Structure:
The price action is forming lower highs and lower lows post-breakout, indicating a new short-term bearish trend.
Minor retracements are expected, but overall, the bearish sentiment remains valid as long as price remains below 1.14240.
📊 Risk-Reward:
This setup offers a favorable risk-to-reward ratio (~1:2), making it a potentially high-probability short opportunity.
🔔 Key Notes:
Watch for a retest of the broken wedge support (now resistance) as an ideal short re-entry point.
Strong USD fundamentals or weak Euro data may accelerate the move toward the target.
Manage risk carefully; wait for confirmation on lower timeframes if entering late
Pair: EUR/USD
Timeframe: 1H (Hourly)
Date: May 27, 2025
Author: ScalpTraderPro
🔍 Technical Analysis:
EUR/USD has recently formed a rising wedge pattern, a classic bearish reversal formation. This pattern is typically a sign of weakening bullish momentum and is often followed by a breakdown, especially when accompanied by strong resistance near the upper boundary.
The price has respected the upper and lower trendlines of the wedge consistently, indicating a well-formed structure.
Today, the pair broke below the lower trendline of the wedge with increased bearish momentum.
The breakdown is a potential signal that the pair may be heading lower in the coming sessions.
📌 Trade Setup:
Entry: Market entry near 1.13348 after wedge breakdown confirmation.
Stop Loss: Positioned above the wedge and previous resistance at 1.14240, just above the recent high to protect against false breakouts.
Target: 1.11853 – This level is based on previous support zones and aligns with the measured move target from the wedge height.
📈 Price Structure:
The price action is forming lower highs and lower lows post-breakout, indicating a new short-term bearish trend.
Minor retracements are expected, but overall, the bearish sentiment remains valid as long as price remains below 1.14240.
📊 Risk-Reward:
This setup offers a favorable risk-to-reward ratio (~1:2), making it a potentially high-probability short opportunity.
🔔 Key Notes:
Watch for a retest of the broken wedge support (now resistance) as an ideal short re-entry point.
Strong USD fundamentals or weak Euro data may accelerate the move toward the target.
Manage risk carefully; wait for confirmation on lower timeframes if entering late
Penerbitan berkaitan
Penafian
Maklumat dan penerbitan adalah tidak dimaksudkan untuk menjadi, dan tidak membentuk, nasihat untuk kewangan, pelaburan, perdagangan dan jenis-jenis lain atau cadangan yang dibekalkan atau disahkan oleh TradingView. Baca dengan lebih lanjut di Terma Penggunaan.
Penerbitan berkaitan
Penafian
Maklumat dan penerbitan adalah tidak dimaksudkan untuk menjadi, dan tidak membentuk, nasihat untuk kewangan, pelaburan, perdagangan dan jenis-jenis lain atau cadangan yang dibekalkan atau disahkan oleh TradingView. Baca dengan lebih lanjut di Terma Penggunaan.