The EURUSD stabilized close to the 1.1044 zone, Fibonacci’s 161.8%, where the sellers will likely place pressures to take control over the price.

The price, since the 13th of October 2016, has been mostly oscillating within an upside pattern between the range of 1.0995 and 1.1044 respectively.

Probable Scenario

The latest formation and stabilization close to the 1.1044 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 1.0947.

The Stochastic oscillator’s main and signal lines indicate that the price has greater probabilities to decelerate at the 20 zone.

eurusd-oct-14-2016

Alternative Scenario

Alternatively, in the scenario where the bulls are able to place greater pressures and the pair breaks above the 1.1101 area, the price could rise to 1.1199 Fibonacci’s 0.0%.

Today’s Major Announcements

  • Euro zone’s Trade Balance n.s.a (Aug) and the Trade Balance s.a (Aug) releases could have a medium impact on the euro
  • The Reuters/Michigan Consumer Sentiment Index (Oct), the Retail Sales (MoM) (Sep), and the Fed’s Yellen Speech releases are expected to have a strong impact on the U.S. dollar

Synopsis

·         Probable trend (Bearish): 1.1044

·         Bearish take profit target: 1.0947

·         Stop loss target: 1.1101

·         Alternative trend (Bullish): 1.1101

·         Bullish take profit target: 1.1199