EURUSD seems to have carved a potential top around 1.1422 as the US Dollar Index might have carved a bottom around 95.80 respectively. The currency pair faces immediate resistance around 1.1348 and might test the same before reversing lower. The drop from 1.1422 through 1.1167 could be a lower degree Wave 1, which is followed by a corrective rally through 1.1348, Wave 2. Alternately, Wave 2 could also be unfolding as a combination towards 1.1348 interim resistance. Either way, a simplified conclusion is as follows: EURUSD remains vulnerable for further losses beyond 1.0636, going further. Bottom line: 1.1422 should hold. We turn our stance to bearish from neutral for now.
Strategy:
Short around 1.1280/90, against 1.1422, targeting below 1.0636 in the medium term.
Legal Disclaimer: This article is not investment advice. The data provided is for marketing material purposes and is not intended to confuse nor guide our clients on trading decisions. Any investment activity performed is perceived to be a self-directed decision. Exclusive Markets is not liable for losses that may occur because of a decision made after reading the information published on our research page or any other media.
Risk Warning: Trading the capital markets is risky therefore further knowledge and experience may be required. Apply appropriate risk and money management always and ensure the implementation of safe leverage.
Strategy:
Short around 1.1280/90, against 1.1422, targeting below 1.0636 in the medium term.
Legal Disclaimer: This article is not investment advice. The data provided is for marketing material purposes and is not intended to confuse nor guide our clients on trading decisions. Any investment activity performed is perceived to be a self-directed decision. Exclusive Markets is not liable for losses that may occur because of a decision made after reading the information published on our research page or any other media.
Risk Warning: Trading the capital markets is risky therefore further knowledge and experience may be required. Apply appropriate risk and money management always and ensure the implementation of safe leverage.