The EURUSD stabilized close to the 1.1149 zone, Fibonacci’s 161.8%, where the sellers will likely place pressures to take control of the price.
The price, since the 28th of July 2016, has been bullish between the ranges of 1.1071 and 1.1197 respectively.
Probable Scenario
The latest formation and stabilization close to the 1.1149 level is a good indication that the sellers may lead the pair in today’s trading session.
In the event where the pair drops and the sellers take over, the price could decline to 1.1071 Fibonacci’s 0.0%.
The Stochastic oscillator’s main and signal lines indicate that the price has greater probabilities to decelerate at the 35 zone.
Alternative Scenario
Alternatively, in the scenario where the bulls are able to place greater pressures and the pair breaks above the 1.1197 area, the price could rise to 1.1273 Fibonacci’s 423.6%.
Today’s Major Announcements
- Germany’s Markit manufacturing PMI (Jul) and euro zone’s market manufacturing PMI (Jul) releases are expected to have a medium impact on the euro
- U.S.’s ISM Manufacturing PMI (Jul) and the ISM Prices Paid (Jul) releases are expected to have a strong influence on the U.S. dollar
Synopsis
- Probable trend (Bearish): 1.1149
- Bearish take profit target: 1.1071
- Stop loss target: 1.1197
- Alternative trend (Bullish): 1.1197
- Bullish take profit target: 1.1273