We continue to monitor EURO /USD for a breakout. As you can see price has not been able to settle above the key resistance line (Blue) however price has advanced in an upward direction finding support on the lower (green).
We feel a catalyst is required for price to breakout and we have 3 opportunities this week for price to breakout.
Today we have US Consumer Confidence which is expected to be .
Tomorrow we have US Unemployment Claims which are expected to be .
Our view is that technically price is in a and thus we feel more inclined to sell the Euro than to but it. With that said we cannot rule out a larger correction spurred by negative US economic news.
Our advice is to set alerts on the Resistance line and Support line and to take your trading direction on price breaking out of either of these lines.
You could also trade the range with small stop orders on either line a sell on the resistance line and a buy on the . We'd risk 10-20 points at most for this style of trading.
We wish you luck traders and hope you can close the year with a decent amount of points on a breakout.