FX.co ★ Trading idea for EURUSD. Powell's PIN bar. The bulls trap

Good afternoon, dear traders! I present to you a trading idea for EURUSD.

So, Federal Reserve Chairman Jerome Powell's speech at Jackson Hall caused significant volatility in both the currency and stock markets. The result of the conference was the widespread strengthening of the US dollar, including against the euro. Friday closed with a good pin bar in the short trend with good potential for further decline.

We observe a corrective movement on an hourly scale, which can be traded according to a three-wave pattern:

In fact, we have a three-wave "ABC" structure, where Friday's short initiative acts as wave A.

I propose to consider short positions with a rollback of 61.8 and 50% on "Fibo" according to the scheme presented on the screen above.

Risks limit 1.007. Take profit on the breakdown of 0.99.

The trading idea is presented within the "Price Action" and "Stop Hunting" methods.

Good luck in trading and control the risks!