EUR/USD Piercing Line Pattern Produces Slow Grind Higher
- EUR/USD Technical Strategy: Sidelines Preferred
- Piercing Line Pattern Signaled Sentiment Shift
- Correction Questionable Amid Lack Of Bearish Signals
EUR/USD’s slow march higher has endured after a Piercing Line formation signaled a shift in sentiment near 1.2500. Some selling pressure is evident at the 1.2755 mark, which if broken may open an advance on the 1.2850 ceiling. Whereas, a daily close under former resistance-turned-support at 1.2700 would be required to turn the immediate risk lower.
Daily Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
The Euro has finally cleared the congestion zone between 1.2500 and 1.2700. A Doji formation may suggest some reluctance from the bulls to lead the pair higher. Yet a pullback is also questionable amid a void of classic reversal signals.
EUR/USD: Clears Congestion Zone Amid Void Of Bearish Signals
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.