The EURUSD stabilized close to the 1.1128 zone, Fibonacci’s 100.0%, where the sellers will likely place pressures to take control over the price.

The price, since the 2nd of September 2016, has been mostly oscillating within a downside pattern between the range of 1.1251 and 1.1128 respectively.

Probable Scenario

The latest formation and stabilization close to the 1.1128 level is a good indication that the sellers may take control over the pair in today’s trading session.

In the event where the pair drops and the sellers take over, the price could decline to 1.1054 Fibonacci’s 161.8%.

The Stochastic oscillator’s main and signal lines indicate that the price has greater probabilities to decelerate at the 70 zone.

EURUSD (Sep 6 2016)

Alternative Scenario

Alternatively, in the scenario where the bulls are able to place greater pressures and the pair breaks above the 1.1177 area, the price could rise to 1.1251 Fibonacci’s 0.0%.

Today’s Major Announcements

  • Euro zone’s Gross Domestic Product s.a. (YoY) (Q2) release is expected to have a medium influence on the euro
  • The ISM Non-Manufacturing PMI (Aug) release is expected to have a strong impact on the U.S. dollar

Synopsis

  • Probable trend (Bearish): 1.1128
  • Bearish take profit target: 1.1054
  • Stop loss target: 1.1177
  • Alternative trend (Bullish): 1.1177
  • Bullish take profit target: 1.1251