Tuesday, November 29, 2022

EURUSD: Pokes Above September High


The Forex market on the daily chart has poked above the Sept. 10 high each of the past three days. The bulls want a breakout and then a test of the Sept. 1 high. That is the top of a four-month trading range and the highest price in two years.

EUR/USD Daily Chart.

Throughout November, the bulls have been trying to get a close above the Sept. 10 high. At the moment, the EUR/USD is just above that high. If today can close above that high, traders will expect higher prices next week. The next resistance is the Sept. 1 high.

If a market repeatedly tries to do something but fails, it usually then tries to do the opposite. If there is suddenly a big bear bar closing on its low within the next week, traders will conclude that the bulls are selling out of their longs and giving up. That should probably lead to a test of support at the Nov. 4 low.

Overnight EUR/USD Forex Trading

The 5-minute chart of the EUR/USD Forex market has been in a 15-pip range for the past eight hours. Day traders are having a difficult time making even a 10-pip scalp.

But what is important today is that the overnight trading range is just above the Sept. 10 high. The bulls will be happy having the range last until the close. If it does, the EUR/USD will have closed above that top of the three-month trading range for the first time.

Also, on the weekly chart, this week will be an outside up bar closing on its high. Both of these charts will probably trade higher next week. Traders will expect a test of the Sept. 1 high within a couple weeks.

Since today is at a critical price, there is an increased chance of a surprisingly big day in either direction. But with many U.S. traders and institutions not trading today, the day will probably remain small. The focus will be the close. Can the bulls finally get a close above the Sept. 10 high?


Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Source link


Please enter your comment!
Please enter your name here



Related Stories