The EURUSD stabilized above the 1.0947 zone, Fibonacci’s 261.8%, where the sellers will likely place pressures to take control over the price.
The price, since the 23rd of June 2016, has been aggressively oscillating within a bearish formation between the range of 1.1421 and 1.0947 respectively.
Probable Scenario
The latest formation and stabilization close to the 1.0947 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 1.0652 Fibonacci’s 423.6%.
The Stochastic oscillator’s main and signal lines indicate that the price has greater probabilities to decelerate at the 70 zone.
Alternative Scenario
Alternatively, in the scenario where the bulls are able to place greater pressures and the pair breaks above the 1.1130 area, the price could rise to 1.1310 Fibonacci’s 61.8%.
Today’s Major Announcements
- ECB President Draghi’s Speech is expected to have a strong impact on the euro
- The Gross Domestic Product Price Index (Q1), the Gross Domestic Product Annualized (Q1), the Personal Consumption Expenditures Prices (QoQ) (Q1), the Core Personal Consumption Expenditures (QoQ) (Q1), the S&P/ Case – Shiller Home Price Indices (YoY) (Apr), and the Consumer Confidence (Jun) releases are expected to have a medium impact on the U.S. dollar
Synopsis
- Probable trend (Bearish): 1.0947
- Bearish take profit target: 1.0652
- Stop loss target: 1.1130
- Alternative trend (Bullish): 1.1130
- Bullish take profit target: 1.1310