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EURUSD - Long term bias is still bearish. Rallies to be sold

Short
FX:EURUSD   Euro / U.S. Dollar
The U.S. Federal Reserve left interest rates unchanged on Wednesday but strongly signalled it could still tighten monetary policy by the end of this year as the labour market improved further (source Reuters).
Yet again, this has left the market floundering with no real long-term direction for the USD. Technical, we look to be forming a short-term ascending triangle pattern. This has an eventual bias to break higher. However, with no high tier American economic releases until Tuesday next week (Durable Goods), we are likely to see volatile price action in the dollar up until that point.

Reflecting this USD view back on to EURUSD and we should see a further move to the upside towards the end of the week and Monday.
Short term players should be looking to buy dips towards 1.1280-90, previous swing high (15th September) and trend of lower highs (Buy EURUSD at 1.1200 stop at 1.1160 target 1.1280)
Long term players should be looking to sell rallies close to 1.1280-90. This offers great risk/reward with the 1st target being the baseline at 1.1122. On a break the measured move will be 1.0875. (Sell EURUSD at 1.1280 stop at 1.1380 targets 1.1122 and 1.0875).
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Comments

I'm getting increasingly bullish EURUSD. Monthly looks very strong to the upside while the trade weighted USD index looks precariously weak.
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