The euro and the U.S. dollar are lately oscillating within a bullish formation between the range of 1.0550 and 1.0635 respectively.

Lately, the buyers have placed strong pressures in their attempts of taking control over the price, and managed to hold the pair close to the 1.0699 zone.

Probable Scenario

In the scenario where the EURUSD resumes above the 1.0699 area, the price could escalate as high as 1.0873, Fibonacci’s 0.0%.

The Stochastic oscillator indicates that the pair has greater chances of appreciating to upper levels at the 50 zone.

eurusd-dec-13-2016

Alternative Scenario

Alternatively, should the sellers take the lead and force the price below the 1.0589 area, the pair could decline as low as 1.0417.

Today’s Major Announcements

  • Germany’s Consumer Harmonized Index (YoY) (Nov), the Harmonized Index of Consumer Prices (YoY) (Nov), the Consumer Price Index (MoM) (Nov), and the Harmonized Index of Consumer Prices (MoM) (Nov) releases will likely have a medium influence on the euro
  • The Import Price Index (MoM) (Nov), the Export Price Index (MoM) (Nov), the Import Price Index (YoY) (Nov) and the Export Price Index (YoY) (Nov) releases are expected to have a medium influence on the U.S. dollar

Synopsis

·         Probable trend (Bullish): 1.0699

·         Bullish take profit target: 1.0873

·         Stop loss target: 1.0589

·         Alternative trend (Bearish): 1.0589

·         Bearish take profit target: 1.0417