Forex Marketz Daily Forex News – Fully Markets Update
EUR/USD (1.29115)
The euro could be looking for a bottom and a recovery against the dollar. We have noted a piercing line formation on our daily chart, please see below.
We have resistance at 1.2980 with a daily close above that level touching 1.30 then testing 1.3060. Should the euro continue to lose ground, a break below 1.2865 tests 1.28 then the technical level at 1.2795.
GBP/USD (1.6199)
No real change from yesterday’s analysis as the Sterling looks to possible move higher in the market.
The Sterling has broken a five day losing streak versus the dollar. There is a Doji just above 1.6050, see chart below. This indicates some seller hesitation. A close in the positive today could hint of a brief recovery.
A daily close above 1.6225 could see a bounce back towards 1.63 then 1.6320. A failure, which is likely due to the overall bearish nature of the market, would need a close below 1.6060. If this happens we would aim for 1.5960 and lower.
A small Forex trading class: Dojis are a sign of indecision among Forex traders. They do not indicate a strong reversal or a good reason to enter long trades. Until we see a move above 1.6150, caution is advised here. Watch and see.
