Intraday technical levels and trading recommendations for EUR/USD for January 9, 2014
January 9, 2014 2:15 pm
Bullish movement above 1.3450 within the depicted bullish channel allowed the pair to reach further supply levels around 1.3650 then 1.3750, respectively. This was taking place until obvious bearish rejection was expressed at 1.3850 (failing to reach 100% Fibonacci Expansion at 1.3904).
Few days later, the bulls managed to break down the lower limit of the ascending channel after establishing a double top reversal pattern.
Tuesday’s candlestick failed to breach Monday’s daily high at 1.3650 resulting in an inverted hammer daily candlestick. This was followed by Yesterday’s daily closure at 1.3575. However, lack of bearish follow-up is manifested this week waiting for the ECB meeting to decide the interest rates.В
Rebound in inflation rates for the euro zone released earlier this week may apply pressure on the ECB to take some steps during the meeting scheduled for today. That’s why, we should just wait and see to avoid unexpected movements today.
Stabilization below 1.3600 is a must to gather further bearish momentum to reach the estimated projection target of the bearish pattern around 1.3460.
A daily closure above 1.3600 will probably invalidate this bearish view. Moreover, it may allow a bullish impulse towards 1.3690-1.3740 to take place.В В
The material has been provided by InstaForex Company – www.instaforex.com
Bullish movement above 1.3450 within the depicted bullish channel allowed the pair to reach further supply levels around 1.3650 then 1.3750, respectively. This was taking place until obvious bearish rejection was expressed at 1.3850 (failing to reach 100% Fibonacci Expansion at 1.3904).
Few days later, the bulls managed to break down the lower limit of the ascending channel after establishing a double top reversal pattern.
Tuesday’s candlestick failed to breach Monday’s daily high at 1.3650 resulting in an inverted hammer daily candlestick. This was followed by Yesterday’s daily closure at 1.3575. However, lack of bearish follow-up is manifested this week waiting for the ECB meeting to decide the interest rates.В
Rebound in inflation rates for the euro zone released earlier this week may apply pressure on the ECB to take some steps during the meeting scheduled for today. That’s why, we should just wait and see to avoid unexpected movements today.
Stabilization below 1.3600 is a must to gather further bearish momentum to reach the estimated projection target of the bearish pattern around 1.3460.
A daily closure above 1.3600 will probably invalidate this bearish view. Moreover, it may allow a bullish impulse towards 1.3690-1.3740 to take place.В В
The material has been provided by InstaForex Company – www.instaforex.com
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