EUR/USD - Bullish on a Breakout
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Pressure building towards a euro breakout
Choppy trading conditions in EUR/USD have made life difficult for those trying to play for a sustained move. As we’ve been discussing in recent webinars, taking only quick-hitter range-trades or staying away altogether has been a prudent approach. (for upcoming webinars, check out the calendar).
With pressure building in the form of an ascending wedge just beneath strong resistance the euro is on the cusp of a breakout. There is a good amount of resistance in the area around 11720/50 which needs to be cleared through first before momentum has a chance at picking up.
A clear on through, though, given the extent of the recent choppiness could lead to quick trade higher into the 11900/2000 area. Risk/reward on a swing-trade might not be the best, but for shorter-term tactical maneuvers a breakout could pave a clear path of least resistance to trade along.
EUR/USD Daily Chart (Break above resistance nearing)
These 4 tenets can help bolster your Confidence as a Trader.
EUR/USD 4-hr Chart (Pressuring building)
***Updates will be provided on these ideas and others in the trading/technical outlook webinars held on Wednesday and Friday. If you are looking for ideas and feedback on how to improve your overall approach to trading, join me on Thursday’s for the Becoming a Better Trader webinar series.
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---Written by Paul Robinson, Market Analyst
You can follow Paul on Twitter at @PaulRobinsonFX
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.