Closed below 1.08 paved the road to 1.02 - Crab completion
$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
This analysis is part of the Weekly Markets Analysis newsletters
To read more interesting technical reviews for the week - goo.gl/TTPQ8T
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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
This analysis is part of the Weekly Markets Analysis newsletters
To read more interesting technical reviews for the week - goo.gl/TTPQ8T
To subscribe to the newsletters - goo.gl/HXjCPV
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 - goo.gl/TFUjbZ