Monday, August 24, 2015

eur/usd at key resistance

Finally eur/usd has come to key resistance level of 1.1500. It wasn’t able to break it for a long time and looks like it may happen any time now. The area actually is between 1.1465 (May 15th high) – 1.1532 (February 3rd high). 

As you can see from the daily chart below Euro was accumulated from March 12th when it made the low of 2015 through the rest of the year with key accumulation levels being 1.0600 and 1.0800 levels. 

It is also clear that the pair broke above both 200 sma and ema. It has actually close above 200 sma and this may happen with 200 ema today too. 

1.1498 level was hit today during Asian session and Euro is playing with it at the time of writing. As all major fundamental news has been released a week or two weeks before; we may assume that a new trend in the pair can start. This time it will probably be upwards. If that happens, buying on dips will be the best strategy for day trading. 

If the breakout does not occur today, the highest probability is that it will happen somewhere around Wednesday this week when US Durable Orders data is released. 

See you with the updates later in the day. 

eur/usd daily chart

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