Daily Timeframe: Since the 12/02/15, the EUR/USD pair has been seen consolidating between a small daily demand area visible at 1.1260-1.1318, and a daily swap level sitting at 1.1411. This daily swap level, in our opinion, remains a key obstacle to a move higher into the aforementioned weekly supply.
4hr Timeframe: The latest coming from the Euro shows that price was sluggish during yesterday’s sessions. That being said though, price did manage to break above the 1.1350 mark, which, as you can probably see, is being retested as support at this very moment. Assuming that the buyers can hold out above this level, we feel there is a very good chance a rally higher could be seen. For anyone considering buying from 1.1350, please keep in mind that price is still trading around the underside of weekly supply (see above) at the moment, so strict trade management is a MUST.
Our team’s main focus for today will be watching for confirmed shorts around two areas. The first, the higher of the two comes in at 1.1497-1.1462. we still has a pending sell order set just below here at 1.1457 since this zone remains relatively fresh, and is located just within the limits of the aforementioned weekly supply area. Nevertheless, before price can reach this area, we may see a reaction at what we like to call a 4hr ‘sell zone’ seen at 1.1448-1.1411 (tentative sell orders are seen just below at 1.1406), which, as you can see, is neatly positioned around the aforementioned daily swap level.
Current buy/sell orders:
• Buy orders: 1.1278 (Predicative stop-loss orders seen at: dependent on where one confirms this level).
• Sell orders: 1.1406 (Predicative stop-loss orders seen at: 1.1450) 1.1457 (Predicative stop-loss orders seen at: 1.1503).