The break below support at 1.5865 finally settled the uncertainty. The downside pressure is still dominating for a move closer to the possible long-term target at 1.5653. That said, we have to remember that we are in the very last part of the long-term decline from 1.7277 and caution is warranted, as a bottom could be found any time. We still prefer a break below 1.5750, but once this is seen, be aware of a reversal.
Only a break above 1.5985 will indicate a bottom is in place, but a break above 1.6179 is needed to confirm the bottom.
Trading recommendation:
Our stop at 1.5865 was hit and we will stay neutral for now. However, we will be looking for EUR-buying opportunities near 1.5653.
The material has been provided by InstaForex Company – www.instaforex.com
Today’s Support and Resistance levels:
R3: 1.6059
R2: 1.5985
R1: 1.5906
Current spot: 1.5835
S1: 1.5820
S2: 1.5750
S3: 1.5653
Technical summary:
The break below support at 1.5865 finally settled the uncertainty. The downside pressure is still dominating for a move closer to the possible long-term target at 1.5653. That said, we have to remember that we are in the very last part of the long-term decline from 1.7277 and caution is warranted, as a bottom could be found any time. We still prefer a break below 1.5750, but once this is seen, be aware of a reversal.
Only a break above 1.5985 will indicate a bottom is in place, but a break above 1.6179 is needed to confirm the bottom.
Trading recommendation:
Our stop at 1.5865 was hit and we will stay neutral for now. However, we will be looking for EUR-buying opportunities near 1.5653.
The material has been provided by InstaForex Company – www.instaforex.com
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