3:41a GMT -A good start to February as our resistance at 1.3930 held firm and first target was hit at 1.3900 (just a bit below actually as I got in a bit below 1.3930). That closed the first lot for 30 pips profit and leaves a second lot currently 30 pips in the profit with the stop-loss just above break-even.
Daily Outlook: The hourly trend resistance was broken but the 4-hour remains. Which is OK with me as I put less weight in trend resistance/support in general (diagonal lines) on lower timeframe charts. I remain very bearish on the pair given the strong downtrend. I will continue to look for reasons to sell in the 1.3930 resistance area, however if we see a break to the upside the next good selling zone is around 1.3930, the 38.2% retracement of recent high/lows and former resistance level.
Trading Idea: From 1.3930 short targets are 1.3900, 1.3870 and 1.3840. From 1.3980 targets will be 1.3945, 1.3910 and 1.3880.