News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
EUR/USD
Mixed
Oil - US Crude
Mixed
Wall Street
Bearish
Gold
Bearish
GBP/USD
Mixed
USD/JPY
Mixed
More View more
EUR/USD Technical Analysis – Short Position Now in Play

EUR/USD Technical Analysis – Short Position Now in Play

2014-05-22 23:44:00
Ilya Spivak, Head Strategist, APAC
Share:

To receive Ilya's analysis directly via email, please SIGN UP HERE

Talking Points:

  • EUR/USD Technical Strategy: Short at 1.3654
  • Support: 1.3598 (76.4% Fib exp.), 1.3476 (Feb 3 low)
  • Resistance:1.3673 (61.8% Fib exp.), 1.3707 (wedge floor)

The Euro continued lower after breaking through the bottom of a Rising Wedge chart formation, issuing the lowest close in nearly four months. Sellers now aim to challenge the 76.4% Fibonacci retracement at 1.3598, with a break below that targeting the February 3 low at 1.3476. Alternatively, a move above the 61.8% level at 1.3673 aims for Wedge bottom support-turned-resistance at 1.3707.

We will now attempt to enter short in line with our long-term fundamental outlook, aiming for 1.3598 as an initial objective. A stop-loss will be triggered on a daily close above 1.3710. We will book profit on half of the trade and trail the stop to breakeven once the first target is hit.

Confirm your chart-based trade setups with the Technical Analyzer. New to FX? Start Here!

EUR/USD Technical Analysis – Short Position Now in Play

Daily Chart - Created Using FXCM Marketscope 2.0

--- Written by Ilya Spivak, Currency Strategist for DailyFX.com

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES