The euro and the U.S. dollar are lately oscillating within a bullish formation between the range of 1.0601 and 1.0658 respectively.

The buyers are placing pressures in their attempts of taking control over the price at the 1.0658 level.

Probable Scenario

In the scenario where the EURUSD remains above the 1.0658 area, the price could escalate as high as 1.0742, Fibonacci’s 161.8%.

The Stochastic oscillator indicates that the pair has greater chances of appreciating to upper levels at the 65 zone.

eurusd-nov-28-2016

Alternative Scenario

Alternatively, should the sellers take the lead and force the price below the 1.0601 area, the pair could decline as low as 1.0516.

Today’s Major Announcements

  • ECB President Draghi’s speech is expected to have a strong influence on the euro
  • The Dallas Fed Manufacturing Business Index (Nov) release is expected to have a medium influence on the U.S. dollar

Synopsis

·         Probable trend (Bullish): 1.0658

·         Bullish take profit target: 1.0742

·         Stop loss target: 1.0601

·         Alternative trend (Bearish): 1.0601

·         Bearish take profit target: 1.0516