EURUSD ANALYSIS AND SIGNAL 7 AUGUST 2025

FULL TECHNICAL ANALYSIS: EURUSD (M5)

1. Price Action Patterns Analysis

* The chart shows a **classic bearish order block* near 1.16700, price rejected hard from there.

* Bearish Flag / Channel: During the drop, a bearish flag formed, and then broke down.

* Multiple strong bearish impulsive moves with small retracements indicate institutional sell-off.

* Bullish reaction candle just appeared at the bottom (1.16180 zone), showing short-term buying interest.

2. Range-Bound Analysis

* Short-term range forming between 1.16150 – 1.16550. Price just bounced off the lower end.

* Mid-range equilibrium is around 1.16350, watch this as potential magnet level before next move.

3. Technical  Analysis

PA alone:

 * Bearish market structure intact (Lower Highs + Lower Lows).

 * Previous support turned resistance visible near 1.16460 – 1.16500.

4. Trend Analysis

* Overall trend: **BEARISH AF Clear dominance by sellers since price rejected from 1.17000+.

* Lower timeframe showing potential **bullish pullback**, but no trend reversal confirmation yet.

6. Support and Resistance

Support zones

 * 1.16150 (current bounce zone).

 * 1.15890 (next potential target if break below).

Resistance zones

 * 1.16460 (previous minor structure).

 * 1.16670 – 1.16700 (major supply/OB zone).

7. Wave Analysis

* Impulsive wave down completed.

* Currently in a corrective wave (ABCDE) going up.

* Wave C might end around 1.16450 – 1.16500 before new leg down.

if price retraces to 1.1650 – 1.1660 area = high confluence of fibs + order blocks = sniper zone for shorts.

8. Market Volatility Analysis

High volatility zone below 1.16200. If it breaks — expect price to nuke hard to 1.15900.

Above 1.16500 = minor volatility wall — price likely to stall near OB.

HYPOTHETICAL TRADE IDEA (DAYTRADE SETUP)

🔻 ORDER TYPE:

Sell Limit @ 1.16500

🎯 TP:

1.15920

🛑 SL:

1.16700

CONFIDENCE LEVEL:84%

JUSTIFICATION:

* Selling into major bearish OB and previous support turned resistance

* Entry sits on top of a confluence zone (trendline + Fibs + Harmonics + PA).

* Tight stop above OB + structure.

* Risk\:Reward ≈ 1:2.9 — clean asymmetric setup

REMEMBER:This is a hypothetical analysis for educational purposes, not financial advice.