EURUSD - SIGNS OF RECOVERY?
EURUSD has been in a downtrend (Bearish) for weeks looking at the Elliot wave pattern (D1) and is currently on wave E. But could there be signs of recovery or will it continue downwards to extend wave E maybe to previous low of 1.034 area? A break below 1.04550 would give us some strong confirmation on that. On the other hand (H4), pair is in a range and a descending channel formed therein. Price bounced off support level of 1.046 and somewhat trying to break above it as well. If it breaks above 1.0510 level we could see a rise to 1.0603 level thus bringing an end to wave E. That would also mean DXY would retreat from current strong resistance levels.
if price breaks out of range i.e. below 1.046 then I go SHORT.
But I would take a LONG bet next week once a break and close above 1.0510 is confirmed. Also RSI is showing some strong divergence on the H4 giving me some more convictions to go LONG.
Sentiment data shows a MIXED reaction more reason for a wait and see what price does at these levels. From contrarian view, the bears should have it. Till then.
Your thoughts?
if price breaks out of range i.e. below 1.046 then I go SHORT.
But I would take a LONG bet next week once a break and close above 1.0510 is confirmed. Also RSI is showing some strong divergence on the H4 giving me some more convictions to go LONG.
Sentiment data shows a MIXED reaction more reason for a wait and see what price does at these levels. From contrarian view, the bears should have it. Till then.
Your thoughts?
Note
DXY d1 chart
QUAS in play around major resistance area.
Note
Well, Tuesday and no significant move. Took a hit. Still hovering around levels mentioned. DXY not seeming to give up the resistance level soon but with the Quasimodo, still looks likely to play out.
Note
UPDATED. EURUSD continues to consolidate and this time in a flat range. Looking for direction.
Note
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.