EUR/PLN flirting with key mid-term support
In today’s technical analysis part, we are discussing an instrument that might be considered exotic but still moves very technically. In addition, you can surely trade it on our platform - the instrument is Euro to Polish Zloty – EUR/PLN.
EUR/PLN is currently in a key place where many traders will make a decision influencing the next few weeks of trading. A lot is at stake depending on these decisions. EUR/PLN is currently bouncing off a combination of two supports. The first one is the horizontal one on the 4.7 - a local top since the end of December.
In addition, you can spot the 38,2% Fibonacci here, which can be very often considered a key support. Last but not least, we have a mid-term up trendline connecting higher tops since the end of December. In other words, the price is currently flirting with ultimate support!
As a result, EURPLN bouncing off this area with a nice bullish candle would be an amazing buying opportunity with a target of 4.75 - the highs from the previous week. On the other hand, EURPLN closing a day below 4.7 would be a definite sell signal with a potential target of 4.63. As for now, with today’s bounce, the first option seems slightly more probable.
Author
Tomasz Wisniewski
Axiory Global Ltd.
Tomasz was born in Warsaw, Poland on 25th October, 1985.
