EUR/USD Mid-Session Technical Analysis for October 3, 2018

Based on the early price action, the direction of the EUR/USD the rest of the session is likely to be determined by trader reaction to the 50% level at 1.1559.
James Hyerczyk

The EUR/USD is trading lower after giving back its earlier gains. The single-currency continues to be dogged by political turmoil between Italy and the European Union. The price action suggests investors are selling the Euro on any hint of bad news on the hopes of an escalation of the problem.


Daily Technical Analysis

The main trend is down according to the daily swing chart. The trend turned down on Tuesday when sellers took out 1.1526. There was little follow-through selling, however, because the market is currently trading inside a key retracement zone.

A trade through 1.1505 will signal a resumption of the downtrend. The main trend will change to up on a move through 1.1816.

The minor trend is also down. Today’s price action makes 1.1505 a new minor bottom.

The main range is 1.1301 to 1.1816. Its retracement zone is 1.1559 to 1.1498. The near-term direction of the EUR/USD will be determined by trader reaction to this zone.

If 1.1816 to 1.1505 becomes the new minor range then its retracement zone at 1.1661 to 1.1697 will become the primary upside target.

Suggested Articles

Daily Technical Forecast

Based on the early price action, the direction of the EUR/USD the rest of the session is likely to be determined by trader reaction to the 50% level at 1.1559.

A sustained move under 1.1559 will indicate the presence of sellers. Crossing to the weak side of the downtrending Gann angle at 1.1536 will indicate the selling is getting stronger. This could trigger a further break into 1.1505, 1.1498 and an uptrending Gann angle at 1.1476.

The daily chart starts to open up under 1.1476. This could trigger an acceleration to the downside with the next target angle coming in at 1.1389. This is the last potential support angle before the 1.1301 main bottom.

A sustained move over 1.1559 will signal the presence of buyers. If this move can generate enough upside momentum then we could see a rally into a resistance cluster at 1.1651, 1.1661 and 1.1676.

Don't miss a thing!

Discover what's moving the markets. Sign up for a daily update delivered to your inbox

Latest Articles

See All

Expand Your Knowledge

See All

Top Promotions

Top Brokers

The content provided on the website includes general news and publications, our personal analysis and opinions, and contents provided by third parties, which are intended for educational and research purposes only. It does not constitute, and should not be read as, any recommendation or advice to take any action whatsoever, including to make any investment or buy any product. When making any financial decision, you should perform your own due diligence checks, apply your own discretion and consult your competent advisors. The content of the website is not personally directed to you, and we does not take into account your financial situation or needs.The information contained in this website is not necessarily provided in real-time nor is it necessarily accurate. Prices provided herein may be provided by market makers and not by exchanges.Any trading or other financial decision you make shall be at your full responsibility, and you must not rely on any information provided through the website. FX Empire does not provide any warranty regarding any of the information contained in the website, and shall bear no responsibility for any trading losses you might incur as a result of using any information contained in the website.The website may include advertisements and other promotional contents, and FX Empire may receive compensation from third parties in connection with the content. FX Empire does not endorse any third party or recommends using any third party's services, and does not assume responsibility for your use of any such third party's website or services.FX Empire and its employees, officers, subsidiaries and associates, are not liable nor shall they be held liable for any loss or damage resulting from your use of the website or reliance on the information provided on this website.
This website includes information about cryptocurrencies, contracts for difference (CFDs) and other financial instruments, and about brokers, exchanges and other entities trading in such instruments. Both cryptocurrencies and CFDs are complex instruments and come with a high risk of losing money. You should carefully consider whether you understand how these instruments work and whether you can afford to take the high risk of losing your money.FX Empire encourages you to perform your own research before making any investment decision, and to avoid investing in any financial instrument which you do not fully understand how it works and what are the risks involved.