Fundamentals:- Although there was some weak data from the US last week as a whole the economy is still on the upside. Non Farm payrole figures came in better than expected whilst unemployment creeped back up t 4% from 3.8%. Average hourly earnings also dropped from 0.3% to 0.2%. Over the long term I don't expect this to hold the USD down for any length of time. While on the Euro side it seems that the ECB are reluctant to move forward with interest rates even though the forcast for inflation has risen slightly for 2018/2019.
Technicals:- As you can see from the 4 hour chart the previous support from the 6th - 14th June has now come back into play and is acting as resistance. the overbought signal on the stochastic is also giving sellers some confidence to push the price back down. Keeping the stop loss tight on this one but I would hope for a return to 11500.
sell stop 11736
stop loss 11805
take profit 11520
Technicals:- As you can see from the 4 hour chart the previous support from the 6th - 14th June has now come back into play and is acting as resistance. the overbought signal on the stochastic is also giving sellers some confidence to push the price back down. Keeping the stop loss tight on this one but I would hope for a return to 11500.
sell stop 11736
stop loss 11805
take profit 11520