EUR/USD: Coming to key resistance level

EUR/USD: Technical Analysis
Daily Graph: Short Trend
Medium term move - Choppy (Consolidation) in between 1.1467 - 1.0537
Highly likely that the Choppy market will continue
Price is at diagonal resistance, just before the key zone in between 1.1379-1.1467
Short term move is up, with bullish formation 'Rising Three Methods, possible test of level
1.1379, where signals for reversal can be looked for for possible reversal.

Alternate scenario: If the price can not break above the diagonal resistance and price moves lower below 1.12 will give us signal for sell. This level is dangerous for buy orders.

The trend continue to be short, but the short-term movement is still up with target of 1.1379

Indicators: RSI above 50, CCI (50) above 0 - short-term move is up

Sentiment: Short-term move up is due to the fact that interest rates in US are on-hold for now, after the FED meeting, yesterday and also that the pace of increase will be slower as well in 2016 by the FED. In contrast with that the policy of the ECB continue to remain very loose and increased stimulus, which does not support any positive sentiment against the Euro. That is why we will be looking for short signals after the price reaches the zone of 1.1379-1.1467.

Stefan D. Angelov - Head of Stocks Trading

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