Daily view: From this angle, we can see that yesterday’s price action drove itself deep into the daily at 1.1051-1.0918. This area, as you can probably see, remains a key obstacle to a move towards the aforementioned weekly swap level.
4hr view: After price met strong support at the 1.0860 mark, the Euro took no prisoners, rallying over 100 pips into yesterday’s close. This move took out 1.0900 and is now seen teasing the extremes (the 4hr completion point at 1.0985) of our that we’ve been talking about over the last couple of days.
Given that this pair is currently trading within a proven on the daily scale (see above) at the moment, the focal point for today will be looking for lower timeframe confirmed shorts around the aforementioned 4hr completion point. However, looming just above this completion point is a large psychological number 1.1000 and an extreme 4hr at 1.1034-1.0992; therefore we could potentially see a spike north before any type of reversal is seen. Supposing that we manage to find a lower timeframe entry around the point, our team have already penciled in 1.0900 as a logical first take-profit target as per the red arrow.
The reason for us requiring lower timeframe confirmation at our 4hr completion point is because there is supportive pressure being seen on the (see above) – better to be safe than sorry!
Current buy/sell orders:
• Buy orders: Flat (Predicative stop-loss orders seen at: N/A).
• Sell orders: 1.0985 region (Predicative stop-loss orders seen at: depends on where one confirms this area).