EUR/USD Approaches 1.2500 Ceiling With A Piercing Line In Its Wake
- EUR/USD Technical Strategy: Pending Short
- Bullish Candlestick Pattern Awaits Validation
- H4 Chart Reveals Lack Of Intraday Reversal Patterns
EUR/USD’s recent rebound has produced a Piercing Line pattern, which awaits confirmation from a successive up-period to be confirmed. Given the presence of a short-term downtrend and the proximity to the nearby 1.2500 ceiling, a further recovery may prove difficult. A resumption of its downward trajectory would likely see buying interest renewed at the 1.2360 floor.
Daily Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
The four hour timeframe reveals a lack of bearish reversal signals, which may open the prospect of further intraday gains for the Euro. However, given the context afforded by the daily, longer-term gains may prove more challenging.
EUR/USD: Bearish Reversal Signs Lacking 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: @DaviddeFe
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.