Key Resistance Levels: 1.19360, 1.19470, 1.19581, 1.19691
Key Support Levels: 1.19031, 1.18923, 1.18814, 1.18706
EU session trading has propelled the EURUSD pair out of a consolidation area. This rise is mainly due to positive economic data for the EU. The news provided the catalyst for the move out of this consolidation area.
1. Price opened near the daily . Equally significant is price did push slightly lower but bounced off the .382 level.
2. Price is currently paused just above the .236 Fibonacci level. A break above this descending line would be extremely and provide significant credence to a move above the 1.20 mark.
1. There was a firm rejection directly on top of the hourly 200 MA. The momentum has been sustained and has blown through 4 resistance levels. Trading has paused near the most recent high of 1.20.
2. The weekly VPOC is @ 19243, just slightly above today’s open. We also have a significant price vacuum between our overnight EU high 1.19943 and the second of 1.19472.
3. A short term pull back target @ 1.19470 could be reached. This could provide a strong for the EURUSD because of the two intersecting . This would also be an important level to see if price were to not hold, a return to the value area would be in the mix.
4. A buy stop above the high provides very little resistance for increased upside movement.
5. We do have some support analysis based on two oscillators that indicate overbought levels and trending down.
Short Term Setup: Look for a pull back to 1.19360. If price does hold this area expect more upside momentum.
Long Term Setup: Look for a buy above the high of 1.1994.