News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
More View more
EUR/USD Morning Star Confirmation To Hint At A Base

EUR/USD Morning Star Confirmation To Hint At A Base

David de Ferranti, Currency Analyst

Talking Points

  • EUR/USD Technical Strategy: Sidelines Preferred
  • Morning Star Pattern Awaits Confirmation Near 2014 Low
  • Shooting Star Suggested An Intraday Shift In Sentiment

EUR/USD’s recent rebound has yielded a Morning Star formation, which may hint at a recovery for the pair. However, the pattern requires a successive up-day in order to be validated and to suggest a base may have formed. This may prove a difficult feat given the sustained presence of a downtrend and the sellers likely sitting nearby at the 1.2700 handle.

Traders should note the upcoming US Non-Farm Payrolls report holds the potential to spark significant volatility which may negate technical signals offered.

EUR/USD: Morning Star Pattern Awaits Confirmation

EUR/USD Morning Star Confirmation To Hint At A Base

Daily Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here

A Shooting Star formation in intraday trade has offered an early indication that the Euro bears are staging a return. Yet the ensuing short body candles do little to inspire confidence in a continued correction. Buying interest is likely to be renewed at the pair’s recent lows near 1.2570.

EUR/USD: Shooting Star Signifies Intraday Shift In Sentiment

EUR/USD Morning Star Confirmation To Hint At A Base

4 Hour Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here

By David de Ferranti, Currency Analyst, DailyFX

Follow David on Twitter: @Davidde

To receive David’s analysis directly via email, please sign up here.

Learn how to read candlesticks to help identify trading opportunities with the DailyFX Candlesticks Video Course.

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES