FOREX TRADING

Daily Technical Analysis

EURUSD Outlook

The EURUSD had a bullish momentum yesterday, topped at 1.3782 and closed at 1.3771. This fact should keep the bullish scenario targeting 1.3850 intact. The technical evidence that price is in a potential bullish momentum even reversal after touched the triple bottom formation seems stronger now especially if price able to break above 1.3850 area today targeting at least 1.4020/50 area this week. Immediate support at 1.3740 area. Break below that area should lead us back into no trading zone testing 1.3650 area but as long as price still move inside the bullish channel the bullish scenario remains intact.

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Daily Technical Analysis

EURUSD Outlook

The EURUSD failed to continue its bullish momentum yesterday, bottomed at 1.3640 and closed at 1.3674 after bad US TIC long term purchases number triggered risk aversion. This fact leads me to a no trading zone in nearest term as direction is unclear but the bullish reversal scenario triggered by the triple bottom formation should remain intact as long as price still move inside the bullish channel with technical bullish target at least at 1.3850. We will have ZEW economic sentiment and CPI number from the Euro zone which is expected to be the catalyst today. Good result should trigger further upside momentum and keep the bullish scenario intact while bad result should trigger significant bearish momentum and potential threat to the bullish outlook testing 1.3530 support area.

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Daily Technical Analysis

EURUSD

The EURUSD had a significant technical movement on Friday by break above the major bearish channel, confirms the bullish reversal scenario after formed triple bottom formation around 1.3450/35 area. While technical outlook is bullish in nearest term targeting 1.3850 before aim for 1.4025/50 region, on fundamental side Euro is supported by rising risk appetite but note that the we have not seen convincing solution on Greek debt crisis so actually the fundamental foundation for Euro bullishness remains fragile and any negative news from the Euro zone or the US could weigh on the Euro and be a potential threat to the technical bullish view as risk aversion could increase and give advantage to the Dollar. Immediate support at 1.3700. Break below that area should be seen as a serious threat to the bullish scenario testing 1.3550/30 area.

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Daily Technical Analysis

EURUSD Outlook

The EURUSD attempted to push lower yesterday. Price slipped below the minor bullish channel, bottomed at 1.3537 but closed higher at 1.3600 and now back inside the minor bullish channel. This fact should keep the bullish correction intact and potential false breakdown scenario which could trigger upside momentum testing 1.3735/50 area. The bias remains neutral in both nearest and medium term as price still consolidation but the major trend should remain bearish as long as price move inside the major bearish channel. Note that only a clear break below the triple bottom formation at 1.3450/35 area could be seen as the end of the bullish correction scenario. Immediate support at 1.3530 area.

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Daily Technical Analysis

EURUSD Outlook

The EURUSD attempted to push higher yesterday, topped at 1.3703 but closed lower at 1.3632. The bias is neutral both in nearest and medium term as price still consolidating. The bullish correction scenario after rejection from 1.3450/30 (triple bottom) remains intact as price still move inside the minor bullish channel with 1.3750 – 1.3850 as corrective target but still in a major bearish scenario. Immediate support at 1.3580 area. Break below that area could trigger further bearish momentum re-testing 1.3450/35 area but only clear break below 1.3450/35 area can be seen as bearish continuation confirmation targeting 1.3100 area.

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Daily Technical Analysis

EURUSD Outlook

The EURUSD failed to continued its bullish correction yesterday, bottomed at 1.3552 and closed at 1.3580. While technically this fact can be seen as potential false breakout scenario thus trigger significant bearish pressure re-testing 1.3450/30 key support area, the Euro was fell after a big surprise in US pending home sales data which fell to -7.6% indicating that risk aversion has taken center stage again. If this is true, a bad result of NFP today could trigger further weakness for the Euro while a good result could give some support. The bias is bearish in nearest term but as long as price still able to move above 1.3450 area, we are actually still in consolidation phase and need a clear break below 1.3450/35 area to continue further bearish scenario targeting 1.3100 area. Immediate resistance at 1.3625. Break above that area should lead us into no trading zone as direction would become unclear.

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Daily Technical Analysis

EURUSD Outlook

The EURUSD was corrected higher yesterday, topped at 1.3735 and closed at 1.3695. This fact should trigger further upside correction testing 1.3850 area. However note that the major bearish scenario remains intact as long as price still move inside the major bearish channel. While technical view suggests the pair is in bullish correction phase even a potential reversal, on fundamental side the Euro zone still have serious problem in Greek and Spain and so far we don’t have a clear clue about how the EU will solve the problem. Immediate support at 1.3690 – 1.3625 area. Break below that area should trigger further bearish momentum re-testing 1.3450.

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Daily Technical Analysis

EURUSD Outlook

The EURUSD attempted to push lower after a false breakout above the minor bearish channel, bottomed at 1.3461 but closed higher at 1.3558. The bias is neutral in nearest term but I still prefer a bearish scenario. We seem to have a good support around 1.3450 area at this phase and need a clear break below that area to continue the bearish scenario targeting 1.3100 this week. A failure to break below that support area and break above 1.3690 area should trigger further bullish correction targeting 1.3750 – 1.3850 area as the bearish momentum may have exhausted. Immediate resistance at 1.3600. Break above that area could trigger further upside pressure re-testing 1.3690 area.

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