Pivot Point: 1.3058.
Time Frame: H4
Overview:
The EURUSD's resistance has broken and it was turned to spport around the price of 1.3216 last week (19th -- 23rd of December 2011), therefore the pair has already formed a strong resistance at 1.3216. Moreover, after it could not close above 1.3216 and the pair started signing for bearish market on this level, it is noting that these levels are coinciding on strong levels for bulls on H4 chart and the pair has already formed a strong resistance at this level of 1.3116. Therefore the pair will be a downside momentum is rather convincing and the structure of the fall looks is not corrective, in order to indicate a bearish opportunity below 1.3216 for that it will a good sign to sell below 1.3216 with a first target of 1.31 and it will call for downtrend in order to continue bearish towards 1.3070. However; It should also be note that the price has still been trapped between 1.2950 and 1.3150. Aswell the RSI and last strong support (Around the double bottom (1.2945) on H4 chart) are still calling for uptrend at this level. So the market indicates a bullish opportunity on level of 1.2950 on H4 chart with a first target of 1.3058 (Pivot point), and continue towards 1.3110.
Trading Recommendations:
According to previous events, the price has still been trapped between 1.32 and 1.295.
Buy above 1.2950 with target at 1.306 then 1.3110.
Below 1.32 look for further downside with a first target of 1.3150 then 1.3070.
Technical Levels:
R3: 1.3127
R2: 1.3104
R1: 1.3081
PP: 1.3058
S1: 1.3035
S2: 1.3012
S3: 1.2989
Observation (s):
Please check out the market volatility before investing, because the sight price may have already been reached and scenarios become invalidate.
Buyers are BIDding at a lower price.
Sellers are ASking for a high price.
