EUR/USD Technical Analysis: Corrective Bounce Seen Ahead

By DailyFx | Updated August 28, 2014 AAA

DailyFX.com -

To receive Ilya's analysis directly via email, please SIGN UP HERE

Talking Points:

  • EUR/USD Technical Strategy: Short at 1.3644
  • Support: 1.3151, 1.3041-64, 1.2977
  • Resistance:1.3232, 1.3281, 1.3361

The Euro may on the verge of a rebound against the US Dollar after forming a Bullish Engulfing candlestick pattern. A daily close above the 14.6% Fibonacci retracementat 1.3232 exposes the 23.6% level at 1.3281. Alternatively, a reversal below the 76.4% Fib expansion at 1.3151 clears the way for a challenge of the 100% threshold at 1.3064.

We sold EURUSD at 1.3644 in line with our long-term fundamental outlook and have since booked profit on half of the position. The rest remains in play with a stop-loss at breakeven. We will look to any on-coming strength as an opportunity to add to the trade.

Add these technical levels directly to your charts with our Support/Resistance Wizard app!

EUR/USD Technical Analysis: Corrective Bounce Seen Ahead

Daily Chart - Created Using FXCM Marketscope 2.0

You May Also Like

Related Forex Analysis
  1. Forex News

    EUR/USD moves off lows but lacks momentum

  2. Forex News

    Dollar Rally Post-FOMC Bolstered by Surprise SNB Action

  3. Forex News

    FOMC... good news for USD Bulls – Investec

  4. Forex News

    EUR/USD risk remains to the downside – FXStreet

  5. Forex News

    ECB moving closer to sovereign debt QE in January - BTMU

Trading Center