Get 40% Off
⚠ Earnings Alert! Which stocks are poised to surge?
See the stocks on our ProPicks radar. These strategies gained 19.7% year-to-date.
Unlock full list

EUR/USD Locked Between Support And Resistance

Published 10/17/2017, 04:52 AM
Updated 07/09/2023, 06:31 AM

EUR/USD Intraday Analysis

eurusd

Between Support and Resistance

EUR/USD seems to be locked between support and resistance. Price is currently playing with the imminent support level at 1.1780. There are two possible scenarios here.

Scenario 1
Price rejects this level and forms a pinbar or another bullish candle and drives more buyers to push the price higher. A potential target for a hypothetical trade could be the next resistance level at 1.1880.

Scenario 2
Price negates the nearby support level at 1.1780 and reaches lower for the next support level at 1.1680.

A lot of attention is concentrated on this pair today as there is an obvious tug-of-war between bulls and bears. Price action will show us the way. Just be patient!

DAX Looking Dim

eurusd
I have been monitoring this instrument for quite some time now. There are a few reasons that make me think that we might see some selling in the days ahead.

Resistance

The first obstacle for buyers seems to be the multi-month resistance level just below 13,000. It seems that price is unable to stay steady above this level

Daily Pinbar

The second confirmation for the bearishness of this instrument comes from the daily bullish rejection. There is a daily pinbar on the daily chart, which seems convincing for the short-sellers. It is followed by an inside day candle on the daily chart. What I am looking for is a confirmation from the 4 hour chart that will send more sellers this way.

The Closer Picture

DAX 4

At a closer look, things don’t look so rosy. It seems like the 4 hour chart is rejecting this level and is sending mixed signals to short-sellers. All in all, a clear bearish signal should come from the 4 hour chart that will confirm our daily outlook. For now, I am not seeing such.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.