In the evening, with the release of the CPI data, a wave of good news surged out, pushing the price of the currency up to around 109,980, with a one-minute unilateral increase of nearly 1,000 points. Subsequently, the price stabilized around 109,950, and there were multiple attempts to break through the 110,300 mark throughout the evening, but each bullish push faced resistance at this level. It is clear that the pressure from above is still quite strong. We also targeted the 110,000-111,000 range for short entries, and currently, our order has nearly 500 points of space, with the price now around 109,950.
The continuous long upper shadows on the 4-hour level indicate strong selling pressure above. Currently, the price is oscillating around 109,500, with the MACD and RSI indicators showing a decrease in bullish momentum, increasing the probability of a short-term correction. Key support is seen in the 109,000-109,200 range; if it breaks, it may drop to 108,500. A breakthrough above 110,300 is needed to open up new upward space.
In terms of operation, it is recommended to try short positions with light positions at current prices, with a stop-loss above 110,300 and a target of 108,800-108,500. Be cautious of changes in market sentiment during the night; if the 109,000 support holds firm, it may maintain high-level oscillations. The longer-term trend remains strong, and short positions are advised to be quick in and out.
