Studying the daily chart for the pair, we can see that it managed to breach resistance of the bearish short-term trend at 1.6440 and succeeded in retesting it in many occasions, while it is going to the upside but facing MA 200 daily as a barrier towards achieving further rise.
EURUSD continues to fluctuate around the pivotal resistance of 1.2990, with ongoing negative signs appearing on momentum indicators. Morning expectations will remain intact as long as stability is achieved above 1.2835.
Crude managed to achieve a strong breach of support for the sideway range 78.50 surpassing the awaited key target at 77.35, breaching support for the short term bullish channel and stabilized below it. Momentum indicators are showing bullish signs that are pushing to retest breached support that has currently turned into resistance at 77.75 before heading towards achieving more expected bearish intraday movement; targets start at 76.15 then 75.60. This scenario requires the four hour closing to stabilize below 77.75.
Crude continues to move within the sideway range shown below with minimum change worth mentioning since this morning. Thus, we hold onto our morning expectations and recommend returning to insure levels that must be watched, as well as the suggested scenario in more details.
The pair managed to breach the correctional downside channel which led the downside correction that began from the permanent peak at 0.7634. This correction shows that it stopped at 38.2% Fibonacci around 0.6585 moving to the upside to breach resistance of the downside channel, where this breach to be confirmed after a series of daily closings above it.
EURUSD succeeded in breaching 1.2935 and headed to the upside but it is not able till now to stabilize above 61.8% Fibonacci around 1.2990. Momentum indicators are showing negative signs that might force the pair to attempt a minor bearish correction to retest the broken resistance before heading towards achieving the expected bullish intraday trend that targets 1.3165 initially. It is vital that stability is achieved above 1.2835 to activate these expectations.
Crude’s trading is trapped within a sideway range between 78.50 and 79.35, where it is currently midway within the current bullish channel; therefore, any breach of both these levels will help crude gain speed in direction, where breaching 78.50 could lead to a direct descend towards 77.35, whereas the breach of 79.35 will push crude towards $81.00 per barrel initially. From here, we recommend observing trading for the levels mentioned to insure the upcoming direction more specifically.
EURUSD is fluctuating around the resistance for the bullish channel attempting to confirm its breach; however, the negativity by Stochastic is pressuring the pair to move to the downside. We hold onto our morning expectations, aswe await a possible upside move for the remainder of trading today if 1.2835 is breached.
Crude declined sharply since this morning to breach the pivotal support at 78.50 activating the bearish technical pattern; targeting downside areas around the support at 77.10. We expect the bearish intraday direction to prevail as long as a base is built below 79.40.
After the big downside wave which started from the recorded top at 658.03 and ended at the bottom of 295.71, the shares started a new bullish medium term wave within the upside correction for the slump mentioned above.
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