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.

Free Trading Guides
EUR/USD
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
GBP/USD
Bullish
USD/JPY
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Gold
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Oil - US Crude
Mixed
Bitcoin
Bearish
More View more
Real Time News
  • Have you joined @DailyFX @facebook group yet? Discuss your #forex strategies and brush up on your skills with us here: https://t.co/jtY1G7g8yx https://t.co/tTQIqZ68Yn
  • Yen Aims Higher on Coronavirus, Euro Up as Italy Risk Eases - https://www.dailyfx.com/forex/fundamental/daily_briefing/session_briefing/euro_open/2020/01/27/Yen-Aims-Higher-on-Coronavirus-Euro-Up-as-Italy-Risk-Eases.html?CHID=9&QPID=917708&utm_source=Twitter&utm_medium=Spivak&utm_campaign=twr #JPY #coronavirus #EUR #italy https://t.co/TxyzIJkOo0
  • Heads Up:🇬🇧 GBP BBA Loans for House Purchase (DEC) due at 09:30 GMT (15min), Actual: N/A Expected: 44000 Previous: 43715 https://www.dailyfx.com/economic-calendar#2020-01-27
  • Missed today's Cross-Market Weekly Outlook webinar? Here's the archived video - https://t.co/YVf7HYJyYR Topics included: - Market impact of #coronoavirus scare - US Embassy attack in #Iraq - #FOMC, #BOE rate decisions - US, Eurozone 4Q #GDP data
  • IFO says the German economy has had a slow start to the year $EUR
  • 🇪🇺 EUR German IFO Current Assessment (JAN), Actual: 99.1 Expected: 99.1 Previous: 98.8 https://www.dailyfx.com/economic-calendar#2020-01-27
  • 🇪🇺 EUR German IFO Expectations (JAN), Actual: 92.9 Expected: 94.8 Previous: 93.9 https://www.dailyfx.com/economic-calendar#2020-01-27
  • 🇪🇺 EUR German IFO Business Climate (JAN), Actual: 95.9 Expected: 97.0 Previous: 96.3 https://www.dailyfx.com/economic-calendar#2020-01-27
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 97.63%, while traders in US 500 are at opposite extremes with 72.23%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/RJrPXJkhLH
  • Heads Up:🇪🇺 EUR German IFO Current Assessment (JAN) due at 09:00 GMT (15min), Actual: N/A Expected: 99.1 Previous: 98.8 https://www.dailyfx.com/economic-calendar#2020-01-27
EUR/USD Technical Analysis: Euro May Bounce Before Deeper Losses

EUR/USD Technical Analysis: Euro May Bounce Before Deeper Losses

2018-08-13 00:30:00
Ilya Spivak, Sr. Currency Strategist
Share:

EUR/USD Technical Strategy: NET SHORT AT 1.2276

  • Euro chart positioning hints bounce may precede deeper losses
  • Rebound will be treated as an opportunity to add to short trade
  • Support now just below 1.14, with break exposing 1.12 figure

See our free guide to get help building confidence in your EUR/USD trading strategy!

The Euro might manage a near-term bounce against the US Dollar before returning to the long-term down trend revived Turkish crisis spillover fears. The four-hour chart reveals early signs of positive RSI divergence. This hints at ebbing downside momentum even as the pair sets new 13-month lows, which may precede a corrective bounce before the dominant bearish bias reasserts itself.

EUR/USD Technical Analysis: Euro May Bounce Before Deeper Losses

Turning to the daily chart, the expected bearish breakdown from a Triangle chart formation has broadly exposed the 50% Fibonacci expansion at 1.1329. A daily close below that opens the door for a challenge of the 61.8% level at 1.1206. Alternatively, a turn back above the 38.2% Fibat 1.1452 paves the way for a retest of support-turned-resistance in the 1.1527-77 area.

EUR/USD Technical Analysis: Euro May Bounce Before Deeper Losses

The EUR/USD short position activated at 1.2407 and then scaled up near 1.19 remains in play. A corrective bounce from here and subsequent signs of topping and/or upside exhaustion will monitored closely for opportunities to increase exposure further. In the meantime, opting for a wait-and-see approach appears to be most sensible.

EUR/USD TRADING RESOURCES

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

To contact Ilya, use the comments section below or @IlyaSpivakon Twitter

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

DISCLOSURES

News & Analysis at your fingertips.