EURUSD: Technical Study
Updated
Long term trend
Suggests 1 of 3 things since mid 2008;
1. Decline in EU economy growth
2. Rise in US economy growth
3. A mixture of both
The downtrend is defined by a parallel channel showing lower highs and lower lows overall, with strong pullbacks averaging at 21.57%
Major trend
The present major trend appears to be an uptrend, with higher high and higher low prices. A correction in the long term trend is anticipated and a pullback of around 21.57% should be expected.
Projecting 21.57% from recent lows aligns perfectly with the completion point of a Gartley-pattern around 1.321:
Intermediate trend
On an intermediate level i managed to come up with this chart:
The chart shows that on an intermediate level the trend is also up and was facing a correction or pullback shown by an ab=cd pattern. I was therefor looking to go long in the direction of the trend at the completion point of the continuation pattern, expecting buyers to come out to near the recent lows as support to kick in the rally.
Good luck to all trading EUR/USD this year. If you have any charts regarding the minor trend make sure you put them in the comments below and lets start a debate.
Please leave a like if you enjoy the analysis as a sign of thanking me for taking my time, and in return I will thank you for taking yours.
God bless
Suggests 1 of 3 things since mid 2008;
1. Decline in EU economy growth
2. Rise in US economy growth
3. A mixture of both
The downtrend is defined by a parallel channel showing lower highs and lower lows overall, with strong pullbacks averaging at 21.57%
Major trend
The present major trend appears to be an uptrend, with higher high and higher low prices. A correction in the long term trend is anticipated and a pullback of around 21.57% should be expected.
Projecting 21.57% from recent lows aligns perfectly with the completion point of a Gartley-pattern around 1.321:
Intermediate trend
On an intermediate level i managed to come up with this chart:
The chart shows that on an intermediate level the trend is also up and was facing a correction or pullback shown by an ab=cd pattern. I was therefor looking to go long in the direction of the trend at the completion point of the continuation pattern, expecting buyers to come out to near the recent lows as support to kick in the rally.
Good luck to all trading EUR/USD this year. If you have any charts regarding the minor trend make sure you put them in the comments below and lets start a debate.
Please leave a like if you enjoy the analysis as a sign of thanking me for taking my time, and in return I will thank you for taking yours.
God bless
Comment
Looking at the short term or day-to-day fluctuations it looks like there will be a chance of price heading to re-test previous highs, confirming the self-fulfilling prophecy of previous resistance now support.
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