The EURUSD stabilized close to the 1.1079 zone, Fibonacci’s 161.8%, where the sellers will likely place more pressures to take control of the price.

The price, since the 5th of October 2016, has been oscillating within a downside formation between the range of 1.1220 and 1.1115 respectively.

Probable Scenario

The latest formation and stabilization close to the 1.1079 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 1.0985 Fibonacci’s 261.8%.

The Stochastic oscillator’s main and signal lines indicate that the price has greater probabilities to decelerate at the 35 zone.

eurusd-oct-7-2016

Alternative Scenario

Alternatively, in the scenario where the bulls are able to place greater pressures and the pair breaks above the 1.1137 area, the price could rise to 1.1231 Fibonacci’s 0.0%.

Today’s Major Announcements

  • There are no any releases on the euro
  • The Nonfarm Payrolls (Sep) and the Unemployment Rate (Sep) announcements will likely have a strong influence on the U.S. dollar

Synopsis

·         Probable trend (Bearish): 1.1079

·         Bearish take profit target: 1.0985

·         Stop loss target: 1.1137

·         Alternative trend (Bullish): 1.1137

·         Bullish take profit target: 1.1231