EU Weekly Analysis

20 ott 2018

Weekly: For 2 consecutive weeks, the pair has slowed down as it challenge the Fib level 0.5 & also the Weekly uptrend that has been respected multiple times. A break of support at 1.145 region will expose the pair to 1.12 region which is the Fib level 0.618. Alternatively, a break to the upside will expose the pair to the previous Swing High at 1.18.

Daily: On the daily,we can clearly see that the pair has found strong support at 1.145 region as it bounce strongly twice. On Friday it form a Bullish Engulfing, signalling the pair could be forming a base and more upside is possible. The pair will likely find selling pressure at the resistance at 1.16 region which it will coincide with the Dynamic resistance.

H4: Looking closer on H4, we can see that the pair has found strong buying pressure as it printed an extremely Bullish candlestick as it pierced and stay above the Dynamic Resistance EMA 21, which coincide with the Psychological level 1.15. From here I will expect the pair to retrace towards the broken Resistance turned Support at 1.1475 region, which will coincide with the Fib level 0.5-0.618.