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Forex pairs in this Article » EUR/USD
FXstreet.com (Barcelona) - A game change is looming in favour of EUR/USD sellers, however, it would only be confirmed below 1.3462/52/29 zone, according to Thomas Anthonj, FX Strategist at JP Morgan.

Key Quotes

"The odds have shifted in favor of a major trend reversal which however still needs confirmation. The latest and surprisingly low inflation numbers out of Europe sparked renewed rate cut fantasies which led to a sharp reversal of the EUR/USD uptrend."

"Confirmation that a new downtrend has been established and that higher targets at 1.3870, at 1.3977 and at 1.4259/83 are out of focus would however only be delivered via a break below 1.3462/52/29 (pivots/daily trend). Such a break would signal a B.-or 2nd-wave top in place at 1.3833 which would challenge 1.3220 and 1.3104 (pivot) next."

"Below the latter there would only be 1.3009/1.2983 (int. 76.4 %/weekly trend) left to prevent a broader sell-off to at least 1.2465 (76.4 % on higher scale) if not to 1.1673/41 (C = A/2005 low)."

"On the upside it would take a break above 1.3611 (minor 38.2 %) to ease the down-pressure but only a break above 1.3750 (minor 76.4 %) would neutralize the prevailing negative bias again."
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