Talking Points
EURUSD rallies on dovish Fed- scalps eye topside targets
Updated targets & invalidation levels
Event Risk on Tap This Week
EURUSD Daily
Chart Created Using FXCM Marketscope 2.0
Technical Outlook
EURUSD responds to median-line support- constructive
Bias remains weighted to the topside above today’s low (1.1017)
Interim resistance objectives at the August high-day close 1.1153 backed by 1.1195
Daily RSI rebounds at 50 / former resistance trigger- bullish
Limited event risk into end of week
EURUSD 30min
Notes: A key median-line support confluence into 1.1017 held into the open of U.S. trade today with the a dovish tone to the FOMC minutes sparking a dollar sell-off that propelled the euro into the weekly opening range high. The broader ascending formation off the lows remains in play with our scalp bias weighted to the topside while within this formation.
Interim support rests at 1.1082 backed by 1.1053 & the lower median-line parallel (bullish invalidation). A breach of the weekly opening range high targets resistance objectives at 1.1153 & the 61.8% retracement at 1.1195. A quarter of the daily average true range (ATR) yields profit targets of 26-28pips per scalp. Bottom line: we’ll be looking to buy pullbacks / resistance triggers while within this formation with a break lower targeting more critical support at 1.0971/86.
For updates on this scalp and more setups throughout the week subscribe to SB Trade Desk
Relevant Data Releases
Other Setups in Play:
Scalping NZDUSD Opening Range- 6630 Resistance Remains Key Hurdle
Webinar: USD Scalps Hinge on CPI- Setups in Play this Week
GBPNZD Marks Another Failed Attempt- Short Scalps Favored Sub 2.3942
GBPAUD Putting in a High or Time to Buy?
CADJPY 94.50 – Line in the Sand
—Written by Michael Boutros, Currency Strategist with DailyFX
Follow Michaelon Twitter @MBForex,contact him at mboutros@dailyfx.com or Click Here to be added to his email distribution list
Join Michael for Live Scalping Webinars on Mondays on DailyFXat 12:30 GMT (8:30ET)
Interested in learning about Fibonacci? Watch this Video
Source: Daily fx