The daily trend is in an Uptrend technically indicated by following:
• Dow pattern- higher tops and higher bottoms, (B1-T1-B2-T2).
• Price is currently trading above the valid uptrend line.
• Bullish Failure Swing
A bullish failure swing forms when RSI moves below 30(oversold), bounces above 30, bulls back, holds above 30 and then breaks its prior high. It is basically, as observed to chart, a move to oversold level and then a higher low above oversold level.
Failure swing have been observed: A low (trough) below the oversold level, followed by a peak that does not cross the overbought level, and the second low (trough) that is higher than the previous one.
Prices are trading above the support level (S) at 1.1216 the 61.8% Fib retracement level (last downtrend move).
Therefore, in case that the pair is trading across the channel, I will recommend LONG POSITIONS for the no position holders on EUR/USD. Take profit at 1.1864 the 161.8% Fib extension level. Stop loss should be a bit below the support level-S2, thus the stop loss is at 1.0800.
For LONG-holders I will recommend to HOLD their long positions and adopt the same stop loss and take profit orders as mentioned above.
• Dow pattern- higher tops and higher bottoms, (B1-T1-B2-T2).
• Price is currently trading above the valid uptrend line.
• Bullish Failure Swing
A bullish failure swing forms when RSI moves below 30(oversold), bounces above 30, bulls back, holds above 30 and then breaks its prior high. It is basically, as observed to chart, a move to oversold level and then a higher low above oversold level.
Failure swing have been observed: A low (trough) below the oversold level, followed by a peak that does not cross the overbought level, and the second low (trough) that is higher than the previous one.
Prices are trading above the support level (S) at 1.1216 the 61.8% Fib retracement level (last downtrend move).
Therefore, in case that the pair is trading across the channel, I will recommend LONG POSITIONS for the no position holders on EUR/USD. Take profit at 1.1864 the 161.8% Fib extension level. Stop loss should be a bit below the support level-S2, thus the stop loss is at 1.0800.
For LONG-holders I will recommend to HOLD their long positions and adopt the same stop loss and take profit orders as mentioned above.