Who’s Trying To Sell EUR/USD?

Posted Monday, June 12, 2017 by
Skerdian Meta • 1 min read

It´s true that the Euro pairs have been trading in an uptrend since the beginning of the year, with EUR/USD leading the way. Although, we might reach a top soon, judging from the price action recently.   

The price was having trouble crossing the 1.1270-80 level last week and during the second half of the week, this forex pair retraced about 120 pips from the top. A correction was due on the H4 chart and it happened.

Since Friday afternoon though, the price has been climbing higher and we´re back above 1.12 now, targeting the 100 SMA on the H1 forex chart.

But, we are still holding a bearish view of EUR/USD for the near term. I think that the pullback of the bigger uptrend, which started in January, is still not finished.

The daily forex chart is heading down and there´s still a lot of room to run until the technical indicators become oversold. The daily and weekly chart look even more bearish as they are both severely overbought.     

So, in my opinion, a bigger correction is due and that´s the reason that we are bearish for the short term. We´re looking to open a sell forex signal soon, but I´m eyeing the 5 SMA (yellow) on the H4 chart, which is a dozen pips above where we are right now.

Stochastic is becoming overbought 

As you can see from the forex chart above, the stochastic indicator is becoming overbought, so I´m itching to pull the trigger. Although, I will wait for a higher price at the 50 SMA.  

Check out our free forex signals
Follow the top economic events on FX Leaders economic calendar
Trade better, discover more Forex Trading Strategies
Related Articles
The FED is expected to hold interest rates unchanged at 5.25% today, but the rhetoric will be more important
4 months ago
0 0 vote
Article Rating
Notify of
Inline Feedbacks
View all comments