EUR/USD Doji Ensemble Highlights Hesitation At Key Barrier

By DailyFx | Updated September 03, 2014 AAA

DailyFX.com -

Talking Points

  • EUR/USD Technical Strategy: Shorts Preferred
  • Hesitation Persists As Highlighted By Dojis Near 1.3100
  • Recovery Questionable In Absence of Bullish Signals

EUR/USDremains at a crossroads as parade of Dojis highlights indecision near the critical 1.3100 floor. A daily close below the hurdle would set the scene for a run on the psychologically-significant 1.3000 handle.

EUR/USD: Doji Highlights Indecision Near Critical Support

EUR/USD Doji Ensemble Highlights Hesitation At Key Barrier

Daily Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here

The four hour chart reveals a similar narrative to the daily with several short body periods denoting hesitation from traders. Yet a void of bullish reversal candlesticks casts doubt on a recovery at this stage. Given the context afforded by the daily clearance of the 1.3100 handle would be preferred before looking at new short positions.

EUR/USD: Absence of Reversal Patterns Casts Doubt On A Corrective Bounce

EUR/USD Doji Ensemble Highlights Hesitation At Key Barrier

4 Hour Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here

By David de Ferranti, Currency Analyst, DailyFX

Follow David on Twitter: @Davidde

To receive David’s analysis directly via email, please sign up here.

Learn how to read candlesticks to help identify trading opportunities with the DailyFX Candlesticks Video Course.

You May Also Like

Related Forex Analysis
  1. Forex News

    Weekly Trading Forecast: How Far can the Dollar Go in 2014?

  2. Forex News

    US session recap: USD index and stocks rally for record highs

  3. Forex News

    US Dollar Targets Fresh Highs versus Euro, but What Could Change?

  4. Forex News

    A calm and holy night or a snowstorm of volatility? – ING

  5. Forex News

    Euro Struggles Ahead of Greek Election- USD/CAD Carves Lower Highs

Trading Center