Looks Like This Is It For the Bullish Retrace in EUR/USD
Skerdian Meta • 1 min read
EUR/USD was quite bullish during most of last year, as the USD kept declining since March, sending this apir around 15 cents higher to 1.2350s. But, the climb stopped up there in the first week of January this year and EUR/USD declined to 1.17 until the end of March.
This month though, the price reversed back up and climbed above 1.20, reaching 1.2080 today. But, the retace higher seems like might be over now, with the chart setup pointing to a bearish reversal soon, as most technical indicators show.
The stochastic indicator is severely overbought and is turning down now, while the 100 SMA (green) which has acted as resistance before providing support now on the daily chart. So, the retrace seems complete.
We opened a sell forex signal just below 1.20 in EUR/USD , hoping that the big round level would be enough for buyers, but they went after some weak stops above 1.20 and now the climb looks over. we’re holding on to our trade, since the US economy is booming while the Eurozone economy is still fragile.