EUR/USD 23.11.2016 H4 chart.
Downtrend and short term downward movement.
Forming of a flag formation, as break below the diagona support will give a sell signal below 1,0580 or after test of the break.
CCI(50) below 0 – negative signal
Price below SMA50 and SMA200 in bearish formation – negative signal
Fundamentals: Sentiment is for strong USD, and the Philip Hammond Autumn statement and the uncertanty around the Brexit vote can lead to EUR depreciation.
Alternative scenario: A break in upper direction of the flag formation won’t give us signal for buy but we can then wait a better price for new short positions.
Jr. Trader Nikolay Georgiev