EURUSD MARKET ANALYSIS

Hello traders, its another week in the markets and I hope you're all doing well and gassed up to tackle the new week in the charts. It has been quite a start of the week with a major fundamental release which is the CPI that heavily affected the markets. Into the charts today I'm looking at EURUSD where price dropped from a major H4 & daily chart supply zone at 1.10197 & 1.09201 which is the origin of the previous major drop to the major daily demand zone at 1.05098 & 1.04493. Price dropped from the major daily supply zone and broke the H1 & H4 demand zone at 1.07800 & 1.07145 and dropped lower forming a lower low at 1.06630. Price rallied to retest the broken demand as new supply at 1.07800 before a continuation of the drop. Price spiked during the CPI news forming a strong rejection wick with candle close inside supply followed by a strong H4 bearish engulfing candle showing a potential drop. Took sell positions during NY session at 1.07800 with SL at 1.08100. Setup taken is a drop base drop, a continuation setup and my target is at the major H4 & daily demand zone at 1.05098 & 1.04493.

Price dropped 65 pips to the H1 low at 1.07155 by a strong H1 bearish engulfing candle. Price retraced to 1.07440 forming a lower high followed by a constant push away from supply to the next H1 low at 1.06600 confirming a shift in market structure to bearish as I wait for price to take out the H1 low before a continuation of the drop. Price dropped 120 pips filling the 1st H1 & H4 range back to the H4 low at 1.06600 and still showing a potential continuation of the drop on the daily chart to fill the major daily range back to the major daily demand zone at 1.05098 & 1.04493.

Price failed to break the H1 low at 1.06600 and instead retraced to retest supply at 1.07145 before a continuation of the drop. Price formed rejection wicks at 1.07145 with candle close below supply followed by a strong drop taking out the H4 low and forming a lower low at 1.06380 confirming a potential continuation of the drop. Price gained more momentum during London session into NY session as price dropped lower to 1.06300 a 150 pips drop hence closing out my positions before price formed another strong rejection wick followed by a strong pullback to 1.06885 as the market closes for the week.
R : R = 1 : 5