EURUSD is bullishly aligned after Fed, eyes 1.1268 pivot for further upside

Slobodan Drvenica Windsor Brokers

EURUSD

The Euro extended post-Fed recovery on Thursday and bounced to 1.1250 zone, after correction from fresh high at 1.1268 was contained by 4-hr Kijun-sen at 1.1167. Dovish tone from Fed kept the dollar pressured that boosted the single currency, offsetting so far negative signals on overbought daily studies and bearish outside day on Tuesday. Lack of economic indicators from the Eurozone today suggests that the pair will be depending on US data and technicals. Break above multi month high at 1.1268 is needed to signal fresh upside, with such scenario being favored as the dollar stands at the back foot. Hhowever, extension above 1.1299 (09 Nov post-US election high) is needed to confirm bullish resumption. Initial support lies at 1.1210 (session low, followed by 1.1167 (correction low / Fibo 23.6% of 1.0839/1.1268 upleg) and rising 10SMA at 1.1133. Reversal of slow stochastic from strongly overbought zone requires caution as fresh weakness below 1.1167/33 pivots would signal stronger pullback.

Res: 1.1268; 1.1299; 1.1322; 1.1370
Sup: 1.1210; 1.1167; 1.1133; 1.1104

Interested in EUR/USD technicals? Check out the key levels

1. R3 1.1289
2. R2 1.1255
3. R1 1.1237
PP 1.1203
1. S1 1.1184
2. S2 1.1150
3. S3 1.1132

Author

Slobodan Drvenica

Windsor Brokers

Industry veteran with over 22 years’ experience, Slobodan Drvenica joined Windsor Brokers in 1995 when he was an active trader for more than 10 years, managing the trading desk and own account departments.

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