EUR/USD At Risk On Bearish Engulfing Pattern
Dailyfx | Oct 31, 2014 05:56AM ET
Talking Points
- EUR/USD Technical Strategy: Pending Short
- Bearish Engulfing Pattern Casts Risks Lower
- Key Reversal Signals Lacking In Intraday Trade
EUR/USD’s woes may be set to continue after a Bearish Engulfing formation was left in its wake. The key reversal candlestick may herald a revisit of the 1.2500 lows following confirmation from a successive down-session. A climb over the 1.2755 hurdle would be required to negate a bearish bias.
The four hour chart reveals a void of bullish reversal signals which places a question mark over a corrective bounce. However, given the proximity to intraday support, a downside break would be preferred before adopting fresh short positioning.
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