The sellers of the euro were the big ‘’winners’’ since the 26th of February 2016 as they were able to force the price from 1.1067 to 1.0822.

The price has now stabilized below the 1.0882 zone which is today’s major pivot point area where both the buyers and the sellers will attempt to take the lead.

In contrast, should the sellers increase their pressures at the 1.0822 level they could force the pair even lower and thus cancelling out the high probabilities for an uptrend formation.

Probable Scenario

In the scenario where the buyers exert far greater pressures, the pair could escalate to 1.0975, Fibonacci’s 61.8%.

EURUSD (Mar 3 2016)

Alternative Scenario

Alternatively, in the condition where the bears place greater momentum and the price decelerates below the 1.0822 level, the pair could drop to 1.0746.

Today’s Major Announcements

  • The Initial Jobless Claims (Feb 26), the Markit PMI Composite (Feb), the Markit Services PMI (Feb), the ISM Non-Manufacturing PMI (Feb) and the Factory Orders (MoM) (Jan) releases will have a medium impact on the U.S. dollar
  • The Markit Services PMI (Feb) and the Markit PMI Composite (Feb), for Italy, France, Germany and the Euro zone, announcements are expected to have a medium impact on the euro

Synopsis

  • Probable trend (Bullish): 1.0882
  • Bullish take profit target: 1.0975
  • Stop loss target: 1.0822
  • Alternative trend (Bearish): 1.0822
  • Bearish take profit target: 1.0746