Forex Marketz Daily Forex News – Fully Markets Update
The EUR/USD has recovered some of the recent gap lower but is still struggling to climb back above the rising trend line set back in mid April.
Technical Analysis
Today’s technical analysis sees a cluster support in the support levels that runs from 1.0967 (horizontal pivot) up to 1.10 (pivot). A daily close below this level will challenge the technical support lining up at 1.0817. This is the low set on May 27. The alternative analysis, should the EUR/USD push higher has technical resistance lining up at the trend line. This number is lining up, for today, at 1.1055. A daily close above this level challenges the technical resistance lining up at 1.1278. This is the high set on June 29.
Trade Strategy
The euro has erased a lot of the gap seen after Greece had its no vote and defaulted to the IMF. However, from an event risk standpoint there is still a lot of intraday volatility in this Forex market. Taking a look at the technical analysis, price action is wedged between a support and resistance level. There is no clear cut directional bias to warrant either a long EUR or long USD trade. Timing to place a trade, from a risk to reward perspective makes no sense right now. Keeping all factors in mind, both event risk and technical analysis, I will opt to stand aside today and monitor my charts. For a better trade opportunity to come along.