Closed below 1.08 paved the road to 1.02 - Crab completion

FX:EURUSD   Euro Fx/U.S. Dollar
a year ago
$EURUSD took another blow last week due to the Dollar's strength.
As Draghi wasn't enough, Yellen and the NFP numbers delivered blow after blow to $EURUSD and pushed it below 1.08 for the first time since April 2015.
This comes in addition to the trend line breakdown we saw just two weeks ago, following the ECB's press conference.

The fact that $EURUSD is below 1.1, below the 200 SMA line and below the uptrend line creates mid-long term bearish signal for this pair.

The nearest support zones - 1.07, 1.05 may create some pullback higher, but 1.1 and 1.11 now turns to strong resistance zone that will allow shorting $EURUSD towards equilibrium, or .. at least towards 1.02 to complete a bullish Crab pattern .

Near term - Potential bullish pullback - 1.08, 1.1 and 1.11 as potential targets.
Longer term - Seek bearish reversals near 1.1 or 1.11 to short $EURUSD from higher ground.

Tomer, The MarketZone
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a year ago
Comment: $EURUSD holds support.
1.07 can create a pullback towards 1.09, 1.1 but wait to see dollar's reaction to Friday's terror attack.
Read more -
IvanLabrie PRO
a year ago
Good one.

+1 Reply
nice analysis. what do you think about eur for next step?
themarketzone PRO PooyaSalehipour
a year ago
I actually traded the bullish move last week and now I'm out waiting to see the reaction to 1.1-1.11.
Now the focus is on USD with FOMC coming.
If they'll raise rate we can see $EURUSD moving towards 1.02
+1 Reply
PooyaSalehipour themarketzone
a year ago
possible to touch 1.12500 with shouting star then back to 1.08... euro never die before 2016.
+1 Reply
PooyaSalehipour themarketzone
a year ago
lets see my last eur analysis. thanks
+1 Reply
themarketzone PRO PooyaSalehipour
a year ago
1.125 - Re-test of broken trend line. Definitely an option
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