EUR/USD Traders Await Bearish Signal Near Range-Top At 1.3900
- EUR/USD Technical Strategy: Shorts Preferred
- Doji suggests hesitation from the bulls near the critical 1.3900 handle
- Range-trading strategies preferred on intraday timeframes
EUR/USD’s consolidation between 1.3780 and 1.3900 has persisted with the most recent pullback from the range-top prompting the formation of a Dojicandlestick. The formation suggests signs of indecision from traders and the potential for a pull-back towards the range-bottom. The current environment favors range-trading strategies that may be best-served by examining intraday price action on the four-hour chart.
EUR/USD: Prices Hold Below 1.3900 Following Doji Candlestick
Daily Chart - Created Using FXCM Marketscope 2.0
The range between 1.3780/5 and 1.3900 for EUR/USD persists, despite several noteworthy pieces of fundamental event risk last week on the US Dollar side of the equation. Look out for a bearish reversal pattern in the coming session which could herald a dip to the range-bottom.
EUR/USD: Candlestick Patterns Highlight Turning Points In Recent Range
4 Hour Chart - Created Using FXCM Marketscope 2.0
By David de Ferranti, Market Analyst, DailyFX
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