Hello traders!
Let's take a look into the
EURUSD
landscape as we approach the FOMC minutes this week. My analysis suggests a retracement to the .50 Fibonacci level before the Wednesday FOMC release, followed by a period of choppy consolidation from Wednesday night to Thursday night.
Then, I'm eyeing a move to the -.382 level by Friday night to end the week.
Now, the grand finale – envisioning a continuation to the -.618 level to complete the sequence next week.
Let's take a look into the
EURUSD
landscape as we approach the FOMC minutes this week. My analysis suggests a retracement to the .50 Fibonacci level before the Wednesday FOMC release, followed by a period of choppy consolidation from Wednesday night to Thursday night. Then, I'm eyeing a move to the -.382 level by Friday night to end the week.
Now, the grand finale – envisioning a continuation to the -.618 level to complete the sequence next week.
Trade active:
Update: Traders, today's market in EUR/USD took an unexpected turn. Rather than following the anticipated move to the .5 Fibonacci level, we witnessed a notable attempt to touch the .618 Fibonacci level, followed by a retracement to trade at 1.08237. As we approach the Asia session, my focus is on a potential test of 1.0826.
A clear break of 1.0802 will be further confirmation of a continued downside on $EUR/USD .
A clear break of 1.0802 will be further confirmation of a continued downside on $EUR/USD .
Trade active:
Update: Traders, today's market in EUR/USD witnessed significant volatility driven by PMI data. The pair surged to 1.0886, only to retreat swiftly post the release of German PMI. EU inflation data met expectations at 2.8%. Subsequently, the US dollar staged a robust recovery, trading above the 100 EMA for most of the NY session. Although we closed the day below the same EMA, the dollar maintains a solid support at 103.93-103.95.
Next Move and Possible Test: Anticipating an overnight shift to 1.07910, with a potential test at 1.08380 before the projected move to 1.0791.
After the projected move to 1.07910 and a potential test at 1.08433, the pivotal level to watch is 1.0791. We'll closely observe if this level holds, and in the event of a break, the next downside target is 1.0758.
Anticipation for German IFO Business Climate: If the German IFO Business Climate report comes in lower than expected, it could signal a potential downside pressure on the EUR/USD. A lower business climate often reflects reduced optimism among German businesses, which might impact the euro's strength against the dollar.
Next Move and Possible Test: Anticipating an overnight shift to 1.07910, with a potential test at 1.08380 before the projected move to 1.0791.
After the projected move to 1.07910 and a potential test at 1.08433, the pivotal level to watch is 1.0791. We'll closely observe if this level holds, and in the event of a break, the next downside target is 1.0758.
Anticipation for German IFO Business Climate: If the German IFO Business Climate report comes in lower than expected, it could signal a potential downside pressure on the EUR/USD. A lower business climate often reflects reduced optimism among German businesses, which might impact the euro's strength against the dollar.
Comment:
Comment:
Technical Insight: Drawing parallels to the rejection of a trend line back in August of last year, it's noteworthy that historical patterns often provide valuable insights. If we replicate the same 2.38% drop from the recent high, it intriguingly aligns with the -0.382 Fibonacci level observed in the past few weeks of market movement.
Potential Implications: This alignment suggests a potential technical confluence, reinforcing the significance of the -0.382 Fibonacci level. Traders should keep a close eye on this level, as historical echoes may influence market behavior.
Potential Implications: This alignment suggests a potential technical confluence, reinforcing the significance of the -0.382 Fibonacci level. Traders should keep a close eye on this level, as historical echoes may influence market behavior.
Trade active:
Update: Traders, today unfolded almost exactly as anticipated, with the market moving precisely to our expected level of 1.08393, followed by a clear rejection. The trade remains active, and our focus persists on the next target at 1.0791 for a potential continuation of the downward move.
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Current Outlook: The rejection at 1.08393 reinforces the significance of this level, and attention now shifts to the prospect of further downside momentum toward 1.0791.
Market Projection: If the current downward momentum continues after reaching 1.0791, the next potential stop could be at 1.0758. Monitoring price action around these levels will be crucial for traders to gauge the strength of the prevailing trend.
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Current Outlook: The rejection at 1.08393 reinforces the significance of this level, and attention now shifts to the prospect of further downside momentum toward 1.0791.
Market Projection: If the current downward momentum continues after reaching 1.0791, the next potential stop could be at 1.0758. Monitoring price action around these levels will be crucial for traders to gauge the strength of the prevailing trend.
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Trade active:
Update: Traders, I've prepared a visual projection chart to illustrate the anticipated market movement. Please refer to the attached chart for a visual representation of the projected path.