Talking Points
- EUR/USD Technical Strategy: Pending Short
- Awaiting Daily Close Below 1.2500 To Open 1.2250
- Key Reversal Signals Lacking In Intraday Trade
EUR/USDhas dipped below the critical 1.2500 barrier in intraday trade with bullish reversal signals lacking. This leaves a daily close below the floor desired to signal a fresh short opportunity. An absence of bullish reversal signals suggests the prospect of further weakness with a downside target offered by the late August ’12 lows near 1.2250.
EUR/USD: Breaches 1.2500 Handle With Bullish Reversal Signals Lacking
Daily Chart – Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
The four hour chart reveals a void of bullish reversal signals which suggests a corrective bounce may prove challenging. Selling interest is likely to be renewed at former support-turned-resistance at 1.2500.
EUR/USD: Lacking Bullish Signals In Intraday Trade
4 Hour Chart – Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
By David de Ferranti, Currency Analyst, DailyFX
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