EUR/USD Mid-Session Technical Analysis for June 25, 2019Based on the early price action and the current price at 1.1386, the direction of the EUR/USD the rest of the session is likely to be determined by trader reaction to yesterday’s close at 1.1398.
The Euro is trading lower shortly before the U.S. opening. The single-currency posted a higher-high for fifth straight session before turning lower. The price action has put the Euro in a position to post a potentially bearish closing price reversal top. If confirmed, this could lead to the start of a 2 to 3 day counter-trend break.
At 10:43 GMT, the EUR/USD is trading 1.1386, down 0.0013 or -0.11%.
A closing price reversal top does not change the trend to down, but it does indicate the selling is greater than the buying at current price levels. Often it signals the need to alleviate excessive upside momentum.
Daily Technical Analysis
The main trend is up according to the daily swing chart. The uptrend was reaffirmed earlier in the session when buyers took out the previous days high. Momentum started shifting to the downside on an intraday basis when the market turned lower for the session.
A move through 1.1413 will indicate the return of buyers. Holding below 1.1398 will put the EUR/USD in a position to post a closing price reversal top.
The main range is 1.1448 to 1.1107. Its retracement zone at 1.1318 to 1.1278 is controlling the near-term direction of the EUR/USD. This zone is support.
Daily Technical Forecast
Based on the early price action and the current price at 1.1386, the direction of the EUR/USD the rest of the session is likely to be determined by trader reaction to yesterday’s close at 1.1398.
A sustained move over 1.1398 will indicate the presence of buyers. The first upside target is the downtrending Gann angle at 1.1405. This is followed by the intraday high at 1.1413.
Taking out 1.1413 will indicate the buying is getting stronger. If this move generates enough upside momentum then look for a potential drive into the March 21 main top at 1.1448.
A trade through 1.1448 will change the main trend to up on the weekly chart.
A sustained move under 1.1398 will signal the presence of sellers. The first target is an uptrending Gann angle at 1.1381.
Taking out 1.1381 will indicate the selling is getting stronger. If this move creates enough downside momentum then look for a potential break into a downtrending Gann angle at 1.1362.
Crossing to the weak side of the downtrending Gann angle at 1.1362 will put the EUR/USD in a bearish position. This could trigger an acceleration to the downside with the next target the Fibonacci level at 1.1318.