Euro: USD/EUR (EUR=X) attempting to establish direction around key resistance

Euro: USD/EUR (EUR=X) attempting to establish direction around key resistance

Euro: USD/EUR (EUR=X) attempting to establish direction around key resistance

EUR/USD sold off sharply from the $1.1720 region on Friday, with the pair shifting away from a crucial area of resistance. The ability to break through the $1.1746-$1.1790 resistance zone is key in determining whether we are set for a bullish breakout or not.

With the price having turned back towards the $1.1609 swing low, watch for a break below that level as a means to ease back on the recent bullish charge. Alternatively, a failure to break below means that there is a strong likeliness of another push higher to continue the recent recovery.

Overall, the bias in prices is: Sideways.

By the way, prices are vulnerable to a correction towards 1.17.

The projected upper bound is: 1.18.

The projected lower bound is: 1.15.

The projected closing price is: 1.17.

Candlesticks

During the past 10 bars, there have been 6 white candles and 3 black candles for a net of 3 white candles. During the past 50 bars, there have been 27 white candles and 22 black candles for a net of 5 white candles.

Momentum Indicators

Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.

Stochastic Oscillator

One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 66.5356. This is not an overbought or oversold reading. The last signal was a sell 13 period(s) ago.

Relative Strength Index (RSI)

The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 56.43. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a buy 23 period(s) ago.

Commodity Channel Index (CCI)

The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is 123.This is an overbought reading. However, a signal isn’t generated until the indicator crosses below 100. The last signal was a sell 13 period(s) ago.

MACD

The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a buy 3 period(s) ago.

Rex Takasugi – TD Profile

FOREX EUR= closed down -0.000 at 1.168. Volume was 96% below average (consolidating) and Bollinger Bands were 45% narrower than normal.

Open High Low Close Volume___
1.168 1.169 1.168 1.168 5,717

Technical Outlook
Short Term: Neutral
Intermediate Term: Bullish
Long Term: Bearish

Moving Averages: 10-period 50-period 200-period
Close: 1.16 1.16 1.19
Volatility: 7 8 9
Volume: 116,943 136,603 133,720

Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.

Summary

FOREX EUR= is currently 2.2% below its 200-period moving average and is in an upward trend. Volatility is low as compared to the average volatility over the last 10 periods. Our volume indicators reflect volume flowing into and out of EUR= at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bullish on EUR= and have had this outlook for the last 15 periods.

The following two tabs change content below.
HEFFX has become one of Asia’s leading financial services companies with interests in Publishing, Private Equity, Capital Markets, Mining, Retail, Transport and Agriculture that span every continent of the world. Our clearing partners have unprecedented experience in Equities, Options, Forex and Commodities brokering, banking, physical metals dealing, floor brokering and trading.

You must be logged in to post comments :  
CONNECT WITH