EUR/USD:
Euros again slammed lower coming down to 1.3609. We are seeing a correction currently but within this correction the short term charts are showing to be going into overbought territory which technically means that the correction is running out of steam even though we have not moved very far off the lows...
Therefore we expect corrective moves to top out in the 1.3765 area and this is where we would expect sellers coming back into the market looking for another move lower back to 1.3610/05. Failure to hold over this support will see sellers back into the market once more and we would envisage further declines to 1.3570 then 1.3520.
Now if we do manage to break 1.3765 we anticipate sellers will be evident in the 1.3830/50 band. Expect some strong selling pressure here, thus re-sell, keeping stops above 1.3900.
Euros again slammed lower coming down to 1.3609. We are seeing a correction currently but within this correction the short term charts are showing to be going into overbought territory which technically means that the correction is running out of steam even though we have not moved very far off the lows...
Therefore we expect corrective moves to top out in the 1.3765 area and this is where we would expect sellers coming back into the market looking for another move lower back to 1.3610/05. Failure to hold over this support will see sellers back into the market once more and we would envisage further declines to 1.3570 then 1.3520.
Now if we do manage to break 1.3765 we anticipate sellers will be evident in the 1.3830/50 band. Expect some strong selling pressure here, thus re-sell, keeping stops above 1.3900.