We've got the UK retail sales numbers coming in tomorrow. Based on all recent data I've seen, this number is almost certainly going to be bad. In fact, it might come in at even worse than expected. Either way, this could be the catalyst to send the price much lower.
From a technical perspective, the price action has been in a range since late October. This month, we've seen that range fail to the downside, which could be a foreshadowing of further weakness.
Also, the stochastic is overbought on the 1H, but pretty much useless on higher time frames, so I don't think it matters that much.
I'm trading this with a sell limit order to trigger at 1.3016, with a stop above 1.3030. First target is around 1.2990, with the second in the vicinity of 1.2970.
From a technical perspective, the price action has been in a range since late October. This month, we've seen that range fail to the downside, which could be a foreshadowing of further weakness.
Also, the stochastic is overbought on the 1H, but pretty much useless on higher time frames, so I don't think it matters that much.
I'm trading this with a sell limit order to trigger at 1.3016, with a stop above 1.3030. First target is around 1.2990, with the second in the vicinity of 1.2970.