EUR/USD intraday technical levels and trading recommendations for October 9, 2013
October 9, 2013 12:45 pm
Daily view:
Price Zone of 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 seen on October 1 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.
Last week, 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 non-core services for a period of more than prescribed.
Bearish retracement movement was taking place after Price Zone of 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 is why the market was expressing hesitation manifested in yesterday’s daily candlestick.
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 corresponding to the lower limit of the congestion zone.
Another probability that may happen, the pair maintains its fixation above 1.3460, then it returns to push above 1.3600; there is another bullish swing towards 1.3660-1.3700 supported by the fundamental situation in USD.
The material has been provided by InstaForex Company – www.instaforex.com
Daily view:
Price Zone of 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 seen on October 1 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.
Last week, 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 non-core services for a period of more than prescribed.
Bearish retracement movement was taking place after Price Zone of 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 is why the market was expressing hesitation manifested in yesterday’s daily candlestick.
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 corresponding to the lower limit of the congestion zone.
Another probability that may happen, the pair maintains its fixation above 1.3460, then it returns to push above 1.3600; there is another bullish swing towards 1.3660-1.3700 supported by the fundamental situation in USD.
The material has been provided by InstaForex Company – www.instaforex.com
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