📉 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
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Pubblicazioni correlate
Declinazione di responsabilità
Le informazioni ed i contenuti pubblicati non costituiscono in alcun modo una sollecitazione ad investire o ad operare nei mercati finanziari. Non sono inoltre fornite o supportate da TradingView. Maggiori dettagli nelle Condizioni d'uso.