Is Euro ready to catch the missing bus?

Is Euro ready to catch the missing bus?

Jaya Maheshwari
16 Oct 2019 05:50 PM
On a daily single currency chart, we trace from 1.1414 – high seen on Jun 25 to recent low of Oct 1 at 1.0879, the Fibonacci retracement levels of 38.2% are at 1.1083 and above that at 1.1147 which is a 50% level. After touching a low at the start of the month, Euro has been moving in a short term uptrend (blue channel) breaking past the red downward sloping upper trend channel which may be indicative of testing 1.1102 level (pink horizontal line). But for that it has to distinctly close above 1.1083. Upper trend line of falling yellow channel would also needs to be crossed before a near term seeing of 1.1102 happens. The blue dotted line is yet another indication of the long term bearishness in the Euro. Though, it may meet the blue upward channel at 50% retracement level of 1.1150. Momentum indicator RSI is at 56 probably heading towards 65-70 before it loses steam towards 40. Indicating a possible up move in Euro towards 1.1150 and then retracing back to earlier low of 1.0879.

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