Im not convinced yet by the bearish candles shown.
I think retailer traders have now gotten on the wrong side of this pair and will fuel its run higher in the coming weeks.
In the price below the 1.14650 level no clear defined levels stand out and its a long way for the EURO to fall before reaching a defined level.
DXY to fall below 95.50 again and this time to lower levels.
SUMMARY
PRO's for the move lower
From a purely technical stand point though it does seem that the run lower has started.
Definite acceleration to the downside being displayed on the weekly. I would want a break back above the level and ideally the 50 EMA to act as support.
Definitely need a retest of the current level as resistance and then a run all the way down to 1.08250 level which is the closet thing to a defined level i see.
CON's to the move lower
The orange level shown on the chart can be easily moved lower to actually have current price sitting above the line.
More of a zone of support, which again ins't easily defined. I think buy orders still lie in wait to move price higher.
I think retailer traders have now gotten on the wrong side of this pair and will fuel its run higher in the coming weeks.
In the price below the 1.14650 level no clear defined levels stand out and its a long way for the EURO to fall before reaching a defined level.
DXY to fall below 95.50 again and this time to lower levels.
SUMMARY
PRO's for the move lower
From a purely technical stand point though it does seem that the run lower has started.
Definite acceleration to the downside being displayed on the weekly. I would want a break back above the level and ideally the 50 EMA to act as support.
Definitely need a retest of the current level as resistance and then a run all the way down to 1.08250 level which is the closet thing to a defined level i see.
CON's to the move lower
The orange level shown on the chart can be easily moved lower to actually have current price sitting above the line.
More of a zone of support, which again ins't easily defined. I think buy orders still lie in wait to move price higher.
Comment:
I think we are waiting for Brexit to occur and than get the rally higher 29/12/18