The bullish pressures got tensed since yesterday’s trading session with the price escalating from 1.0899, to 1.1152 a level above today’s major pivot point area the 1.1098 zone.

The bulls took the control over the pair and are now attempting to stabilize it above the 1.1098level. Yesterday’s bullish momentum brought fascination gains for the buyers and great losses for the sellers.

Probable Scenario

Even though the latest upside pressures look promising, the 1.1098, Fibonacci’s 161.8%, seems to be a powerful resistance zone for the sellers.

Stochastic oscillators’ cross above the 80 level is a good indication that the bearish retracement may have greater chances to occur.

In the event where the pair drops, the sellers could set their take profit targets at 1.0975 and 1.0899.

EURUSD

Alternative Scenario

Alternatively, a bullish break-out at the 1.1152 zone could signal that the buyers may exert greater pressures to lead the price to upper zones such as the 1.1295 level.

Today’s Major Announcements

  • The Initial Jobless Claims(Jan 29) and the Factory Orders (MoM) (Dec) releases are expected to have a medium impact on the U.S. dollar
  • The ECB President Draghi’s Speech announcement is expected to have as strong impact on the euro

Synopsis

  • Probable trend (Bearish):1.1098
  • Bearish take profit targets: 1.0975, 1.0899
  • Stop loss target: 1.1152
  • Alternative trend (Bullish): 1.1152

Bullish take profit target: 1.1295