Steve Miley, MSTA
MarketChartist
EURUSD positive range theme
The push last week up through the key trend line resistance from August, saw a shift to a range theme into mid-October.
This was reinforced by a cautious digestion Monday, but a resilient tone overnight switches back to a more positive bias with the bounce from ahead of 1.2583 support.
This now leaves the risk higher for a test back to the recent peak at 1.2792 and maybe extension to 1.2865, but a cap at 1.2902.
Below 1.2605 needed for a more defensive range theme.
WHAT CHANGES THIS?
Upside: Above 1.2995 aims higher for 1.3160 and 1.3220.
Downside: Below 1.2500 sees risk to 1.2460, the 78.6% retrace of the entire 2012-14 rally into mid-month.
4 hour EURUSD Chart
THERE IS SUBSTANTIAL RISK OF LOSS IN TRADING FUTURES, OPTIONS AND FX PRODUCTS. INFORMATION PROVIDED WITHIN THIS MATERIAL SHOULD NOT BE CONSTRUED AS ADVICE
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