EUR/USD Breaches 1.2500 Barrier With Bullish Candlesticks Lacking
- EUR/USD Technical Strategy: Pending Short
- Awaiting Daily Close Below 1.2500 To Open 1.2250
- Key Reversal Signals Lacking In Intraday Trade
EUR/USDhas dipped below the critical 1.2500 barrier in intraday trade with bullish reversal signals lacking. This leaves a daily close below the floor desired to signal a fresh short opportunity. An absence of bullish reversal signals suggests the prospect of further weakness with a downside target offered by the late August ’12 lows near 1.2250.
Daily Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
The four hour chart reveals a void of bullish reversal signals which suggests a corrective bounce may prove challenging. Selling interest is likely to be renewed at former support-turned-resistance at 1.2500.
EUR/USD: Lacking Bullish Signals In Intraday Trade
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.