The upside pressures on the EURUSD got more tensed since the 27th of June 2016 where the price climbed from 1.0972 to 1.1176.
Today’s major pivot point area, the 1.1097 zone, is a critical level for the buyers in their attempts of boosting the price once again to the upside.
Probable Scenario
The latest stabilization of the price close to the 1.1097 level is a good indication that the bulls could likely exert momentum to retrace the pair upwards.
Stochastic oscillators’ formation signals that a probable bullish retracement at the 75 level has greater probabilities to occur.
In the event where the pair appreciates, the buyers could set their take profit targets at 1.1176 and 1.1303.
Alternative Scenario
Alternatively, a bearish break-out below the 1.1047 zone could signal that the sellers may exert far greater pressures to force the price to lower areas such as the 1.0972 level as their first target.
Today’s Major Announcements
- Germany’s Markit Manufacturing PMI (Jun), Italy’s Unemployment (May), euro zone’s Markit Manufacturing PMI (Jun) and Unemployment Rate (May) releases are expected to have a medium impact on the euro
- U.S.’s ISM Manufacturing PMI (Jun) is expected to have a strong impact on the U.S. dollar
Synopsis
- Probable trend (Bullish): 1.1097
- Bullish take profit target: 1.1176, 1.1303
- Stop loss target: 1.1047
- Alternative trend (Bearish): 1.1047
- Bearish take profit target: 1.0972