Technical Overview: As we predicted yesterday, the downward momentum was blocked at the lower band of the channel and EUR/USD rebounded more than 100 pips since yesterday's low. We are still in long positions, which were opened yesterday at 1.404-1.405. Stop loss for these positions are at 1.408. Short term bias is Bullish. Looking at the Daily chart – the stochastic oscillator indicates that the upward trend has just started to gain momentum and it is in a classic pattern for further gains. Immediate target is 1.421.
Trading Idea: Best levels to enter LONG positions are between 1.411 and 1.413, with stop loss at 1.408. A break above 1.422 will accelerate the Bullish momentum. SHORT positions should be taken only be breaking below 1.401.
Analysis by SignalTrader.com – the leading solution for Automated Trading. Autotrade on Forex, Indices and Commodities.
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