This pair was discussed on the 6th of September. In the meantime, the trade has not been triggered and a different support level was formed, so the scenario changed.
The EUR/USD currency pair, on the H4 time-frame, was in a downward path until the 3rd of September when a lower bottom was recorded at 1.09262. Buyers started to enter the market with demand overwhelming supply.
After the bottom at 1.09262 the market broke through the 15 and 34 Simple Moving Average, the Momentum Oscillator broke the zero baseline into bullish territory and there was a crossing of the 15 and 34 Simple Moving Averages, called a Golden Cross. All of these confirmed a possibility technical price reversal, or in other words, the early stages of a next trend.
A possible critical resistance level formed when a higher top was recorded on the 5th of September near 1.10847. Sellers tried to push the market lower but demand again overcome supply with a support level that formed on the 8th of September near the 34 Simple Moving Average at 1.10147.
If EUR/USD breaks through the critical resistance level at 1.10847, three possible price targets may be projected from there. Attaching the Fibonacci tool to the top of the possible reversal at 1.10847 and dragging it to the support level at 1. 10147, the following targets may be calculated. The first target can be anticipated at 1.11280 (161 %). The second price target can be predicted at 1.11981 (261.8%) and the third and final target may be expected at 1.13115 (423.6%).
If the support at 1. 10147 is broken, the possible scenario is invalidated and will need to be re-evaluated.
As long as buyers maintain a positive sentiment and demand overcomes supply, the outlook for the EUR/USD currency pair on the H4 time-frame will remain bullish.
Disclaimer:
This written/visual material is comprised of personal opinions and ideas. The content should not be construed as containing any type of investment advice and/or a solicitation for any transactions. It does not imply an obligation to purchase investment services, nor does it guarantee or predict future performance. FXTM, its affiliates, agents, directors, officers or employees do not guarantee the accuracy, validity, timeliness or completeness of any information or data made available and assume no liability for any loss arising from any investment based on the same.
The EUR/USD currency pair, on the H4 time-frame, was in a downward path until the 3rd of September when a lower bottom was recorded at 1.09262. Buyers started to enter the market with demand overwhelming supply.
After the bottom at 1.09262 the market broke through the 15 and 34 Simple Moving Average, the Momentum Oscillator broke the zero baseline into bullish territory and there was a crossing of the 15 and 34 Simple Moving Averages, called a Golden Cross. All of these confirmed a possibility technical price reversal, or in other words, the early stages of a next trend.
A possible critical resistance level formed when a higher top was recorded on the 5th of September near 1.10847. Sellers tried to push the market lower but demand again overcome supply with a support level that formed on the 8th of September near the 34 Simple Moving Average at 1.10147.
If EUR/USD breaks through the critical resistance level at 1.10847, three possible price targets may be projected from there. Attaching the Fibonacci tool to the top of the possible reversal at 1.10847 and dragging it to the support level at 1. 10147, the following targets may be calculated. The first target can be anticipated at 1.11280 (161 %). The second price target can be predicted at 1.11981 (261.8%) and the third and final target may be expected at 1.13115 (423.6%).
If the support at 1. 10147 is broken, the possible scenario is invalidated and will need to be re-evaluated.
As long as buyers maintain a positive sentiment and demand overcomes supply, the outlook for the EUR/USD currency pair on the H4 time-frame will remain bullish.
Disclaimer:
This written/visual material is comprised of personal opinions and ideas. The content should not be construed as containing any type of investment advice and/or a solicitation for any transactions. It does not imply an obligation to purchase investment services, nor does it guarantee or predict future performance. FXTM, its affiliates, agents, directors, officers or employees do not guarantee the accuracy, validity, timeliness or completeness of any information or data made available and assume no liability for any loss arising from any investment based on the same.