JohnLaw

STUMBLING the EURUSD LEGS BY THE DAY

FX:EURUSD   Euro Fx/U.S. Dollar
KEEPING THINGS SIMPLE ON THE EURUSD            
(1 day, log scale)


I couldn't believe EUR could show itself to be THIS strong. It's a crazy week. Shorts were stopped out - of course. My wrong.

- tops had been tested, and have now been broken (on heavy volume )
- we've moved outside of the range
- expect retracement first, and on that retracement, have a very good look at how the RSI evolves: the RSI needs a proper line-up (= NO oversold reading) in order to be looking for the next ( bullish ) up leg.

Until then, I will definitely stay flat - I want to see support first with healthy internals.

Longer term picture (see the monthly chart):
nothings has changed. So a possible leg up (along the red resistance line) may take it to 1.18 (Fib level) or even 1.22 ( 50% retracement level). But that will be about all of it. The killing of the EUR will simply take a much longer time, let's see what happens in 2016.

The RSI was already holding up, but remained in neutral area. The recent spike pushed it to overbought levels. That is a good sign - being the first condition for a bull-trend to develop on the daily. Now, on the next leg down, we should NOT see any oversold reading in the RSI (and I doubt we will) in order to be able to start looking to the next leg to the upside.
Ideas Scripts Chart
United States
United Kingdom
India
España
France
Italia
Brasil
Россия
Türkiye
日本
한국
Home Stock Screener Forex Signal Finder Economic Calendar How It Works Chart Features House Rules Moderators For the WEB Widgets Stock Charting Library Priority Support Feature Request Blog & News FAQ Help & Wiki Twitter
Private Messages Chat Ideas Published Followers Following Priority Support Public Profile Profile Settings Account and Billing Sign Out