Forex Analysis: EURUSD Classic Technical Report 10.31.2012
Prices completed a bearish Three Inside Down candlestick pattern below falling trend line resistance set from May 2011 and broke through upward-sloping support set from the June swing bottom, hinting a significant reversal is at hand. Initial rising trend line support is at 1.2892, followed by the 23.6% Fibonacci expansion level (1.2826). A reversal back above the trend line (now at 1.3018) exposes a long-term downward-sloping barrier at 1.3089. We have now entered short.
Daily Chart - Created Using FXCM Marketscope 2.0
--- Written by Ilya Spivak, Currency Strategist for Dailyfx.com
To contact Ilya, e-mail firstname.lastname@example.org. Follow Ilya on Twitter at @IlyaSpivak
To be added to Ilya's e-mail distribution list, please CLICK HERE
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.