Forex Marketz Daily Forex News – Fully Markets Update
EUR/USD (1.1310)
- Resistance Levels: 1.1340, 1.1445, 1.1660
- Support Levels: 1.1205, 1.1075, 1.0860
Trade Strategy: Stand Aside
The EUR/USD is searching for a bottom and might have find a short term one. The Euro appears to be getting ready for a corrective move higher as there is a bullish reversal signal on the below daily MT 4 chart. Note the Morning Star candlestick.
At this point the euro needs to close back above 1.1340 in order to challenge the next technical resistance level at 1.1445. Should the euro continue on its path lower, not something uncalled for at this point, then the EUR/USD needs to break below 1.1205 to challenge the technical support at 1.1075.
What am I going to do? As you know, I love shorting the Euro. First off, let’s look at some fundamental economic analysis. There is broad based euro weakness. Why? The European Central Bank (ECB) has introduced an aggressive stimulus plan. What does this mean as far as my trading strategy? I am waiting for that small corrective bounce higher so I can get a better opportunity and sell (short) the euro. Till that happens, I am standing aside and waiting patiently.
