This is the type of market where patience matters more than having a strong opinion.
For EURUSD, the context is dollar direction and European session flows. The key idea around pullback structure is that a pullback is more useful when it holds above the level that created the previous impulse. That means I would not build a trade only from the direction of the last candle.
My first scenario would be confirmation: price holds the important area, volume stays supportive, and the next pullback does not fully erase the previous move. In that case, wait for a higher low or controlled retest before treating the dip as an opportunity.
The opposite scenario is just as important. If price rejects the level, closes back into the old range, or moves too far without offering a clean stop, the setup becomes lower quality. I would reduce size if the next session opens with wide spreads or a fast headline move.
This is not about being bullish or bearish by default. It is about having a plan for both continuation and failure before the market forces a decision.
For EURUSD, the context is dollar direction and European session flows. The key idea around pullback structure is that a pullback is more useful when it holds above the level that created the previous impulse. That means I would not build a trade only from the direction of the last candle.
My first scenario would be confirmation: price holds the important area, volume stays supportive, and the next pullback does not fully erase the previous move. In that case, wait for a higher low or controlled retest before treating the dip as an opportunity.
The opposite scenario is just as important. If price rejects the level, closes back into the old range, or moves too far without offering a clean stop, the setup becomes lower quality. I would reduce size if the next session opens with wide spreads or a fast headline move.
This is not about being bullish or bearish by default. It is about having a plan for both continuation and failure before the market forces a decision.
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