Technical Analysis – EURUSD consolidates in lower range
September 30, 2013 7:46 am
EURUSD has been consolidating in a range since September 19 after a sharp 20 pip gain on Sept 18. The pair has been confined in a range between highs of $1.3567 and lows of $1.3461.
Referring to the 4H chart:
In early Monday trading EURUSD fell to the lower end of the range where it has found support above $1.3459, which is the 23.6% Fibonacci of the move from the Sept 6 low to the Sept 19 high. Support is also provided by the upper Ichimoku cloud.
A retest of the upper range at $1.3567 is likely. The Daily momentum still looks bullish so a break above the upper range would be a good sign for resumption of upward momentum towards the Friday (sept 27) high of $1.3563.
A break below $1.3460 could accelerate a decline and a daily close below this level could negate any bullish bias.
Currently RSI is flat and there is no clear direction.
EURUSD has been consolidating in a range since September 19 after a sharp 20 pip gain on Sept 18. The pair has been confined in a range between highs of $1.3567 and lows of $1.3461.
Referring to the 4H chart:
In early Monday trading EURUSD fell to the lower end of the range where it has found support above $1.3459, which is the 23.6% Fibonacci of the move from the Sept 6 low to the Sept 19 high. Support is also provided by the upper Ichimoku cloud.
A retest of the upper range at $1.3567 is likely. The Daily momentum still looks bullish so a break above the upper range would be a good sign for resumption of upward momentum towards the Friday (sept 27) high of $1.3563.
A break below $1.3460 could accelerate a decline and a daily close below this level could negate any bullish bias.
Currently RSI is flat and there is no clear direction.
EURUSD 4H Chart
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