On March 20, the EURUSD pair has expressed remarkable bullish recovery around the newly-established bottom around 1.0650.
Bullish engulfing H4 candlesticks as well as the recently-demonstrated ascending bottoms indicated a high probability bullish pullback towards 1.0980 and 1.1075 (Fibo Level 50%).
Shortly After, a bearish Head & Shoulders pattern was demonstrated around the price zone between (1.1075-1.1150).
Shortly after, a sideway consolidation range was established in the price range extending between 1.0770 1.1000.
The price zone of (1.0815 – 1.0775) has been standing as a prominent Demand Zone providing quite good bullish support for the pair so far.
On May 14, Evident signs of Bullish rejection have been manifested around this price zone.
Moreover, recent ascending bottom has been established around 1.0870 which enhances the bullish side of the market in the short-term.
Short-term technical bullish outlook remains valid as long as bullish persistence is maintained above the recently-established ascending bottom around 1.0850-1.0870.
Currently, the recent bullish breakout above 1.1000 has enhanced further bullish advancement towards 1.1175 (61.8% Fibonacci Level) where temporary bearish rejection is anticipated.
On the other hand, the price level of 1.0930 (Latest ascending bottom) stands as an Intradaily key-level to be watched by the EUR/USD intraday traders.
Trade recommendations :
Conservative traders are advised to wait for bearish pullback towards 1.1000 as a valid BUY Entry.
T/P levels to be located around 1.1075 then 1.1175 while S/L to be located below 1.0900.
The material has been provided by InstaForex Company – www.instaforex.com