The euro and the U.S. dollar are lately oscillating within a stable formation between the range of 1.1070 and 1.1161 respectively.

The bulls have placed strong pressures in their attempts of taking control over the price, and managed to lead the pair higher, from 1.1045 to 1.1149.

Probable Scenario

In the scenario where the EURUSD rises close to and breaks above the 1.1161 area, the price could escalate as high as 1.1217, Fibonacci’s 161.8%.

The Stochastic oscillator indicates that the pair has greater chances of appreciating to upper levels at the 80 zone.

EURUSD (Aug 10 2016)

Alternative Scenario

Alternatively, should the sellers take the lead and force the price below the 1.1115 area, the pair could decline as low as 1.1070.

Today’s Major Announcements

  • There are no any releases on the euro
  • The 10  – Year Note Auction and the Monthly Budget Statement (Jul) releases are expected to have a medium impact on the U.S. dollar

Synopsis

  • Probable trend (Bullish): 1.1161
  • Bullish take profit target: 1.1217
  • Stop loss target: 1.1115
  • Alternative trend (Bearish): 1.1115
  • Bearish take profit target: 1.1070