The upside pressures on the EURUSD got more tensed since the 11th of July 2016 where the price climbed from 1.1015 to 1.1160.
Today’s major pivot point area, the 1.1120 zone, is a critical level for the buyers in their attempts of boosting the price once again to the upside.
Probable Scenario
The latest stabilization of the price close to the 1.1120 level is a good indication that the bulls could likely exert momentum to retrace the pair upwards.
Stochastic oscillators’ formation signals that a probable bullish retracement at the 50 level has greater probabilities to occur.
In the event where the pair appreciates, the buyers could set their take profit target at 1.1183.
Alternative Scenario
Alternatively, a bearish break-out below the 1.1080 zone could signal that the sellers may exert far greater pressures to force the price to lower areas such as the 1.1015 level as their first target.
Today’s Major Announcements
- Euro zone’s Trade Balance n.s.a (May), Trade Balance s.a (May), the Consumer Price Index (MoM) (Jun), the Consumer Price Index – Core (MoM) (Jun), the Consumer Price Index – Core (YoY) (Jun), and the Consumer Price Index (YoY) (Jun) releases are expected to have a medium impact on the euro
- U.S.’s Retail Sales (MoM) (Jun) announcement is expected to have a strong impact on the U.S. dollar
Synopsis
- Probable trend (Bullish): 1.1120
- Bullish take profit target: 1.1183
- Stop loss target: 1.1080
- Alternative trend (Bearish): 1.1080
- Bearish take profit target: 1.1015