Talking Points
- EUR/USD Technical Strategy: Shorts Preferred
- Daily Close Below 1.2850 May Open Next Leg Lower
- Void of Bullish Candlesticks Casts Spotlight On 1.2755
EUR/USDremains at a critical juncture as it probes above former support-turned-resistance at 1.2850. At this stage a lack of bullish candlesticks leaves the immediate risk skewed to the downside, and casts the spotlight on the July 2013 lows near 1.2755. A daily close back above the 1.2850 barrier would be required to negate a near-term bearish technical bias.
EUR/USD: Eyes 1.2755 Following Clearance Of Range-Bottom
Daily Chart – Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
The four hour chart tells a tale of indecision as the medley of short candles and Dojis continues. Buying interest appears to have been renewed in intraday trade at the 1.2820 mark. Yet within a void of key reversal signals a recovery over the session ahead is questionable.
EUR/USD: Intraday Recovery Questionable Amid Void of Bullish Patterns
4 Hour Chart – Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
By David de Ferranti, Currency Analyst, DailyFX
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