EUR/USD Scalps Target March Gap- Bullish Above 1.2890

EURUSD Daily Chart

Chart Created Using FXCM Marketscope 2.0

Technical Outlook

The breach above the 1.2880 threshold last week marks the euro correction we have been waiting for
Further topside advances remain as long the 1.29 support barrier is respected (near-confluence of the monthly pivot & 200-day moving average) on a daily close basis.
Note daily RSI has recently broken above 50 and leaves more upside for a tag of the 60-threshold
Key Resistance Range 1.3060/70 (3/18 gap) – Breach eyes objectives at 1.3113 and 1.3227.
Key Support 1.2890- Break targets 1.2750 and 1.2680

EURUSD Scalp Chart

Scalp Notes: Break below confluence at 1.2970 risks a run on key support at 1.289- Looking to buy weakness above this mark. Note that the R1 monthly pivot rests at 1.3040 and may offer some pushback before we continue higher.

*We will remain flexible with our bias with a break below 1.2890 eyeing subsequent support targets. It’s extremely important in these market conditions to give added consideration regarding the timing of intra-day scalps with the opening ranges on a session & hourly basis offering further clarity on intra-day biases.

Key Threshold Grid: EURUSD

Entry/Exit Targets

Timeframe

Level

Significance

Resistance Target 1

30min

1.3035

50% Extension

Resistance Target 2

Daily

1.3060/70

61.8% / 38.2% Retrace

Topside Limit

30min

1.3113

38.2% Retracement

Break Target 1

30min

1.3160

Soft Res/ Pivot/ Sept High

Break Target 2

30min

1.3200

Big Figure

Break Target 3

Daily

1.3227

50% Retracement

Break Target 4

Daily

1.3278

R2 Monthly Pivot

Break Target 5

Daily

1.3340

61.8% Retracement

Support Target 1

30min

1.2970

23.6% Retrce/61.8% Ext

Support Target 2

30min

1.2926

38.2% Retracement

Bullish Invalidation

30min

1.2890

50%$ Retracement

Break Target 1

30min

1.2855

61.8% Retracement

Break Target 2

30min

1.2830

Soft Support

Break Target 3

30min

1.2805

78.6% Retracement

Average True Range

Daily

107

Profit Targets 25-27pips

For updates on this scalp and more setups attend Michael’s Scalp Webinars or follow him on Twitter @MBForex

—Written by Michael Boutros, Currency Strategist with DailyFX

To contact Michael email mboutros@dailyfx.com or Click Here to be added to his email distribution list

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