The euro and the U.S. dollar are lately oscillating within an upside formation between the range of 1.1214 and 1.12168 respectively.

The sellers have, lately, placed strong pressures in their attempts of taking control over the price, and managed to lead the pair lower, from 1.1268 to 1.1242.

Probable Scenario

In the scenario where the EURUSD rises close to and breaks above the 1.1268 area, the price could escalate as high as 1.1359, Fibonacci’s 261.8%.

The Stochastic oscillator indicates that the pair has greater chances of appreciating to upper levels at the 40 zone.

eurusd-sep-27-2016

Alternative Scenario

Alternatively, should the sellers take the lead and force the price below the 1.1214 area, the pair could decline as low as 1.1122.

Today’s Major Announcements

  •  There are no any major releases on the euro
  • U.S.’s S&P/Case-Shiller Home Price Index (YoY) (Jul), the Markit Services PMI (Sep), the Markit PMI Composite (Sep), the Consumer Confidence (Sep), and the Fed’s Stanley Fischer Speech releases are expected to have a medium impact on the U.S. dollar

Synopsis

·         Probable trend (Bullish): 1.1268

·         Bullish take profit target: 1.1359

·         Stop loss target: 1.1214

·         Alternative trend (Bearish): 1.1214

·         Bearish take profit target: 1.1122