The market decided that there will be a breakout below the triangle it developed at the high of the EUR/USD movement and the limit of that triangle was reached and even exceeded as the pair depreciated with over 500 pips.
The current trend is bearish without a doubt and is developing as a correction of the impulse rally from 1.03400 to 1.25556. The strong support would be at 50% Fibo of the impulse, in the zone around 1.1450 - 1.1400.
Despite that there is quite a while until the pair reaches that level and we are currently focused on the D1 support level reached by the pair at 1.1700. The signal for a move north formed when the H4 bar closed at 1.17163. The closing of the D1 bar after a low at 1.17163 (at 38.2% Fibo) would confirm the expected corrective move to the upside.
I expect the correction to reach 1.1950 – 1.1970 after which the depreciation to the strong support at 1.1450 – 1.1400 will be renewed.
I agree with your analysis.
ReplyDeleteExcellent analysis, very good insights and leves to watch.
ReplyDeleteGood point, I agree with the analysis.
ReplyDeleteWill take into consideration these levels, thank you!
ReplyDeleteGood insight.
ReplyDeleteGood post!
ReplyDeleteInformative review on current market conditions.
ReplyDeleteThanks for such an informative analysis.
ReplyDeleteGood analysis.
ReplyDelete