EUR/USD Downside Risks Remain With Bullish Signals Lacking
- Strategy: Short, Stop: 1.2500 (Close), Target: 1.2270
- Piercing Line Candlestick Pattern Denied Validation
- Open To Intraday Declines Following Shooting Star
EUR/USDremains capped below the 1.2500 ceiling after a Piercing Line pattern was left lacking confirmation. Alongside the presence of a short-term downtrend the pair may be set to revisit the recent lows near 1.2360. Beneath which would put the August 2012 low at 1.2250 in sight. A close above 1.2500 would be required to negate a short-term bearish technical bias.
Daily Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
A Shooting Staron the four hour chart awaits confirmation from a successive down-period. If received a pullback towards the recent low near 1.2365 may ensure.
EUR/USD: Shooting Star Near 1.2490 Awaiting Confirmation
4 Hour Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
By David de Ferranti, Currency Analyst, DailyFX
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