Forex Technical Analysis: Trend potential – Expecting a momentum to 1.0357


Technical observation

EUR retraced to the resistance zone 1.0595-1.0580 but could not break above it, instead it bounced within the zone and since then it has been trading with an increasing bearish bias. As long as price is sustained below the zone mentioned above, I expect a further surge to the supportive level 1.0357 followed by either a clear break below it with a big red candle or a rejection at it followed by another correction to the zone 1.0595-1.0580. If you are currently holding short positions with the pair above, remain in the trade with your take profit at 1.0357 and stop loss at 1.0654. I can only recommend bullish positions in case of a break above the zone 1.0595-1.0580.

Trade recommendation

Remain short with your take profit at 1.0357.

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