Recommendations: LONG positions above 1.3575 with 1.3775 & 1.3875 as next targets.
Alternative scenario:The downside breakout of 1.3575 will call for a slide to 1.3475/1.3375.
Description:The EURUSD continued its bullish momentum last month , stability above the key support 1.3575 on a daily basis will keep the bullish momentum intact and look for 1.3775 levels ahead of 1.3875, further out will aim 1.4000 levels.On the downside ; main support comes at the 1.3575 levels , losing this level on a daily basis would weaken the current bullish run and bring consolidations for retesting 1.3475/1.3375 levels , note that we have strong support around 1.3275 , If reached , this level is likely to limit any downside move and bring rebound towards 1.3575 levels.
Trend direction :Upward
Support and resistance levels :
- 1.3975 – Overbought – Trend continuation level
- 1.3875 – Minor resistance
- 1.3675 – Minor support
- 1.3575 – Oversold – Bearish breakout level – Pivot level for Jan 2014
- 1.3475 – 1.3375 – 1.3275
- Main support comes at 1.3575 levels , buying the pair is recommended after rejection from this level on a daily basis.
- If 1.3575 fails on a daily basis, 1.3675 should limit any upside move and bring decline towards 1.3475/1.3375 levels.
- If 1.3575 fails on a daily basis , and 1.3675 is taken out , next resistance would be 1.3975…
- If 1.3975 is taken out , 1.3875 should contain any bearish correction and bring rise towards 1.4075/1.4175 levels.
- If 1.3975 is taken out , and 1.3875 failed to hold , next support would be 1.3575…