The EURUSD has currently stabilized slightly above the 1.0820 zone, Fibonacci’s 261.8%, where the sellers will likely place pressures to take control the price.

The price, since the 20th of October 2016, has been oscillating within a downside formation between the range of 1.1037 and 1.0903 respectively.

Probable Scenario

The latest formation close to the 1.0820 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 1.0682 Fibonacci’s 423.6%.

The Stochastic oscillator’s main and signal lines indicate that the price has greater probabilities to decelerate at the 50 zone.

eurusd_oct_25_2016

Alternative Scenario

Alternatively, in the scenario where the bulls are able to place greater pressures and the pair breaks above the 1.0903 area, the price could rise to 1.1037 Fibonacci’s 0.0%.

Today’s Major Announcements

  • The ECB President Draghi’s Speech could have a high impact on the euro
  • The S&P/Case – Shiller Home Price Indices (YoY) (Aug), the Housing Price Index (MoM) (Aug), and the Consumer Confidence (Oct) releases are expected to have a medium impact on the U.S. dollar

Synopsis

·         Probable trend (Bearish): 1.0820

·         Bearish take profit target: 1.0682

·         Stop loss target: 1.0903

·         Alternative trend (Bullish): 1.0903

·         Bullish take profit target: 1.1037