EUR/USD intraday technical levels and trading recommendations for October 8, 2013
October 8, 2013 4:15 pm
Daily view:
Price Zone 1.3515-1.3560 represented a valuable Supply zone that kept the price below for almost two months. The pair was showing some bearish rejection manifested in the Daily candlesticks of the previous weeks as well as October 1st ‘s bearish inverted hammer daily candlestick. However, lack of bearish follow-up was witnessed last week, when the pair spiked to a new high around 1.3646.
During the previous two days, significant bullish momentum was expressed after the emergence of the U.S. private sector employment report, which came weaker-than-expected due to investors’ concern about the government to stop financing of non-core services for a period of more than prescribed.
Bearish retracement movement was taking place after Price Zone 1.3590-1.3600 managed to pause the ongoing bullish momentum, despite the witnessed recovery in the services sector in the Euro zone, released last week. That’s why the market is expressing EURO recovery agains USD again.
The price level of 1.3550 is the uplimit of the most recent congestion zone. That is why the price action should be watched as the breakdown of it will enable the pair to reach down to 1.3460.
Another probability that may happen if the pair maintains its fixation above 1.3460, it returns to push above 1.3600; there is another bullish swing towards 1.3660-1.3700 supported by the fundamental situation of USD.
The material has been provided by InstaForex Company – www.instaforex.com
Daily view:
Price Zone 1.3515-1.3560 represented a valuable Supply zone that kept the price below for almost two months. The pair was showing some bearish rejection manifested in the Daily candlesticks of the previous weeks as well as October 1st ‘s bearish inverted hammer daily candlestick. However, lack of bearish follow-up was witnessed last week, when the pair spiked to a new high around 1.3646.
During the previous two days, significant bullish momentum was expressed after the emergence of the U.S. private sector employment report, which came weaker-than-expected due to investors’ concern about the government to stop financing of non-core services for a period of more than prescribed.
Bearish retracement movement was taking place after Price Zone 1.3590-1.3600 managed to pause the ongoing bullish momentum, despite the witnessed recovery in the services sector in the Euro zone, released last week. That’s why the market is expressing EURO recovery agains USD again.
The price level of 1.3550 is the uplimit of the most recent congestion zone. That is why the price action should be watched as the breakdown of it will enable the pair to reach down to 1.3460.
Another probability that may happen if the pair maintains its fixation above 1.3460, it returns to push above 1.3600; there is another bullish swing towards 1.3660-1.3700 supported by the fundamental situation of USD.
The material has been provided by InstaForex Company – www.instaforex.com
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