Forex Marketz Daily Forex News – Fully Markets Update
EUR/USD (1.0947)
Points to consider in this Forex market:
- The euro breaks through the channel resistance which could be a bullish sign.
- Will wait for another short euro sale in line with my overall bearish outlook on the euro.
- Trade strategy: Stand aside
The EUR/USD Forex market has broken through the channel top that has been capping gains since mid-December. This could be a bullish reversal signal that could hint a further corrective euro gains. However, the larger multi-year trend with the euro remains quite bearish. Any gains should be treated as corrective. Please refer to the below EUR/USD daily MT 4 chart for today’s technical analysis.
Technical Analysis
First up is today’s EUR/USD daily technical analysis. There is a near term resistance barrier lining up at 1.0975. A daily close above this level will challenge the next technical resistance layer lining up at 1.1118. The alternative EUR/USD technical analysis, should the euro reverse and falls lower, notes the channel top and former support level as the first downside barrier. This technical level is at 1.0888 for today. A break below this technical level challenges the next downside barrier at the January 21 low price point. This technical level is lining up at 1.0777.
Trade Strategy
Now let’s get into today’s EUR/USD trade strategy. As you know, I was short euro at 1.0920. I was able to book fifty percent of my profits after hitting my initial target. I then moved the stop loss to break even. Recent price action has now closed the remainder of this trade as the euro corrected higher. For now, I will opt to stand on the sidelines and wait for another short euro sale to come along. Any gains are corrective only. For today, I am flat in the EUR/USD Forex market.
