EUR/USD Aiming Lower Following Bearish Reversal Pattern
- EUR/USD Technical Strategy: Shorts Preferred
- Harami paves way for retreat to 1.3600
- Dojidemonstrates hesitation in intraday trade
EUR/USD may be primed for a further pullback following a Harami pattern on the daily near noteworthy resistance at 1.3700. Confirmation from a second successive down-day has helped to validate the signal and opens a decline to former resistance-turned-support at 1.3590.
EUR/USD: Harami Hints At Retreat
Daily Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
Drilling down to the four hour chart; a Doji candlestick near support at 1.3638 suggests some hesitation from the bulls. However, the formation may prove insufficient to spark a recovery for the pair over the session ahead.
EUR/USD: Doji Highlights Hesitation Near Support
4 Hour Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
By David de Ferranti, Market Analyst, DailyFX
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