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Currency
by Seth Parker on December 12th, 2018

EURUSD Analysis – Strong support reached. What’s next?

Second technical piece of the day is about the EURUSD. Previously, this instrument was on our radar on the 5th of December and our outlook was rather negative. We had a clear target in mind and luckily it was reached yesterday. Well, it sounds nice but the price movements in the meantime were not so smooth as expected. Before we will get deeper into that, look at the quote from the previous analysis:

„Bearish momentum is even more significant after the EURUSD broke the green dynamic support. With all this. The lower line of the symmetric triangle should be reached pretty soon. „

eurusd chart

The price did not go down straight away. First we had an upswing, which came up to be another false bullish breakout (orange). That false breakout sorted out the sentiment here and the price went significantly lower. Today, we are bouncing from the lower line of the triangle and the horizontal support above the 1.310 (yellow). That is a positive sign but just in a short-term. It looks like the sellers are determined and they should try the breakout one more time. The proper sell signal, will be triggered, when the price will close a day below the yellow area. As for now, that is just a hypothesis but may become a reality really soon.

By Seth Parker

Seth is a professional trader with over 10 years of experience. He specializes in the technical analysis. His main focus is on the pure Price Action. In his trading, Seth used the trends, supports and resistances and technical formations. Always, the most important thing in his strategy is the money management. Seth reached a proficiency in trading and for the past three years is doing that for a living enjoying the sun and lovely beaches of the Spanish coast.

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