EURUSD Outlook for week commencing 12/02/17 (Cautiously Short)

FX_IDC:EURUSD   Euro / U.S. Dollar

On a 4 hour basis, a 4 hour sustained close below 1.05959/1.05810 cluster area (purple arrow) should open up route to 1.04515 key support level (green arrow). However we are attentive to bullish divergence seen between 4 hour MACD and price (black lines). On the upside, a 1 hour sustained price close above key resistance 1.07111 (blue arrow) will open up route to near 1.08092/1.08512 cluster resistance zone (brown arrow). A daily close above the 1.08092/1.08512 cluster resistance zone will open up 1.10473/1.11104 cluster resistance zone as target (orange arrow).

Happy trading and may the pips be with you!!!