EURUSD – Buying Dips today is the Key

by Admin

EURUSD – Although EURUSD sold off during Draghi’s speech, this was short-lived with buyers emerging under last week’s low of 1.2751, effectively forming a ‘double bottom’ in the intraday chart. Furthermore, continued buying pressure resulted in the pair posting a bullish Outside Day (with the range outside the last 7 trading days !). The USD Index is also an interesting chart with a possible daily Bearish Bat pattern highlighted. This would have an eventual target of 80.70 (currently trading 82.74) so plenty of room for USD buying in the weeks/months ahead. It should also be noted that all of yesterday’s initial gain were reversed. Back to EURUSD and 1.2898 is the prime support today so this becomes our immediate trigger level but we will monitor price action for earlier action. The call is Bullish Bias – Looking to Buy at 1.2898 stop at 1.2860. The profit targets are1.2948, 1.3000 and 1.3054

Support levels are: 1.2898, 1.2864 and 1.2842