The arrangement of the moving averages indicates dynamic movement; the suggested direction is L. This setup offers a good risk-reward ratio (1 to 3.5), with the stop-loss (SL) below the local low from the H1 chart or below the 9/21 moving averages. The pattern supports the Orgr formation visible on the chart, outlined by brown lines. The range of the L pattern is indicated by green dashes; the range of the counter-trend movement in S is indicated by red dashes.

The preferred scenario is bullish, but given today's payrolls report, if the market is caught off guard, a sharp move to the south also comes into play.

Przemyslaw Blachut