EUR/USD Slide Grinds To A Halt As A Doji Candle Denotes Indecision
- EUR/USD Technical Strategy: Shorts Preferred
- Doji Candlestick Highlights Hesitation
- Close Below 1.2660 To Open Run On 1.2250
EUR/USD has managed to regain its footing as a Doji formation on the daily suggests indecision from traders. Yet key reversal candlesticks signals for the pair are still missing, which in turn casts some doubt over a rebound. Some buying interest appears evident near 1.2650/60. If broken the stage would be set for an extended decline to the late August 2012 low at 1.2250.
EUR/USD: Bears Take A Breather As A Doji Emerges
Daily Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
Turning to the four hour chart for an examination of intraday price action reveals a sideways drift between 1.2665 and 1.2710. Alongside the medley of short body candles and Dojis a clear directional bias is lacking. This leaves a break of the narrow trading band desired before making a move on the pair.
EUR/USD: Awaiting Breakout From Congestion Zone
4 Hour Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
By David de Ferranti, Currency Analyst, DailyFX
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