Euro: USD/EUR (EUR=X) price action suggests investor indecision and impending volatility
Based on Friday’s close at 1.1215, the direction of the EUR/USD on Monday is likely to be determined by trader reaction to the minor top at 1.1255 and the minor bottom at 1.1183. Holding inside this range will indicate investor indecision.
Taking out 1.1255 will indicate the presence of buyers. If this move generates enough upside momentum then look for an eventual rally into 1.1316 to 1.1347.
The next move to the downside will come in three parts. First, the selling has to be strong enough to cross to the bearish side of 1.1185. This should quickly challenge 1.1183 then 1.1176.
If 1.1176 fails then look for the selling pressure to eventually extend into the June 20, 2017 main bottom at 1.1118 and the May 20, 2017 main bottom at 1.1109.
Overall, the bias in prices is: Downwards.
By the way, prices are vulnerable to a correction towards 1.13.
The projected upper bound is: 1.13.
The projected lower bound is: 1.11.
The projected closing price is: 1.12.
A black body occurred (because prices closed lower than they opened).
During the past 10 bars, there have been 2 white candles and 8 black candles for a net of 6 black candles. During the past 50 bars, there have been 22 white candles and 26 black candles for a net of 4 black candles.
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.
One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 54.5849. This is not an overbought or oversold reading. The last signal was a buy 2 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 39.36. 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 166 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 -63. This is not a topping or bottoming area. The last signal was a buy 2 period(s) ago.
The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a sell 7 period(s) ago.
Rex Takasugi – TD Profile
FOREX EUR= closed down -0.001 at 1.121. Volume was 8% below average (neutral) and Bollinger Bands were 21% wider than normal.
Open High Low Close Volume___
1.122 1.124 1.121 1.121 132,172
Short Term: Neutral
Intermediate Term: Bearish
Long Term: Bearish
Moving Averages: 10-period 50-period 200-period
Close: 1.12 1.13 1.15
Volatility: 3 6 8
Volume: 138,359 146,015 142,265
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.
FOREX EUR= is currently 2.1% below its 200-period moving average and is in an downward trend. Volatility is extremely low when compared to the average volatility over the last 10 periods. There is a good possibility that there will be an increase in volatility along with sharp price fluctuations in the near future. Our volume indicators reflect volume flowing into and out of EUR= at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bearish on EUR= and have had this outlook for the last 5 periods.