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EUR/USD: Technical Analysis

The key reversal on Friday indicates the bullish rebound will probably continue higher. Today, however, we are pulling back, probably temporarily, perhaps down to the 50% retracement of the previous rally at 1.2725. This could be the B wave of an ABC with C still to come. When the correction has completed it could start to rally again with an upside target, initially, at the previous highs of 1.2810 but then probably at wave equality with A, at 1.2915, also filling the open gap there.

Analysis by: Joaquin Monfort

Forex4you analyst

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EUR/USD: Technical Analysis

Eurodollar is forming reversal patterns at the lows which could indicate a bounce if confirmed. A hammer is forming on the daily and 4-hr charts. The measuring gap target at 1.2730 has been reached; the weekly pivot is supporting and not far below is the rarely touched S3 monthly pivot. There is further support from old trend-lines on the 50 pip and 10 pip point and figure charts. A bounce higher would probably reach resistance at 1.2810 and then 1.2873; a roll-over would target former lows at 1.2625.

Analysis by: Joaquin Monfort

Forex4you analyst

Disclaimer:

Trading Futures and Options on Futures and Cash Forex transactions involves substantial risk of loss and may not be suitable for all investors. You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time.

EUR/USD: Technical Analysis

Eurodollar has bounced off the monthly pivot at the 1.2820 level and begun rising sharply. This is probably a short-covering rally before the larger down-trend resumes. We could see it rise up to the consolidation level at 1.2925/35 and then roll-over. After that, the major down-trend should push the pair lower and reach the target from yesterday's measuring gap at 1.2730, before probably retouching the 1.2625 lows.

Analysis by: Joaquin Monfort

Forex4you analyst

Disclaimer:

Trading Futures and Options on Futures and Cash Forex transactions involves substantial risk of loss and may not be suitable for all investors. You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time.