EUR/USD: trending up, near 200-day:
The pair has risen up to a line of resistance formed by previous highs at around 1.3645. It is expected to continue rising as it extends the very short-term up-trend, next targeting the 200-day at 1.3669.
A bullish cup-and-handle pattern has probably formed at the lows, visible on the 4-hour chart, with a break above the lip at 1.3667 probably signalling a spike higher. The 200 and 50-day MA's however are situated just above and expected to provide further resistance, so a clearance of these obstacles, including a margin of 20 pips might help add confidence, with a move above 1.3712 adding confirmation of a breakout higher, to a target at 1.3836, which is the depth of the price pattern extrapolated higher.
Analysis by Joaquin Montfort - Liga Forex Analyst
The pair has risen up to a line of resistance formed by previous highs at around 1.3645. It is expected to continue rising as it extends the very short-term up-trend, next targeting the 200-day at 1.3669.
A bullish cup-and-handle pattern has probably formed at the lows, visible on the 4-hour chart, with a break above the lip at 1.3667 probably signalling a spike higher. The 200 and 50-day MA's however are situated just above and expected to provide further resistance, so a clearance of these obstacles, including a margin of 20 pips might help add confidence, with a move above 1.3712 adding confirmation of a breakout higher, to a target at 1.3836, which is the depth of the price pattern extrapolated higher.
Analysis by Joaquin Montfort - Liga Forex Analyst
