EUR/USD Mid-Session Technical Analysis for May 12, 2015

Daily EUR/USD Technical Analysis

The EUR/USD is trading better at the mid-session. Buyers came in early after failing to follow-through to the downside. The rally has been strong enough to recover three consecutive days of lower closes.

The support angles that held as support are at 1.1165 and 1.1265 today.

The main trend is up on the daily chart. A trade through 1.1065 will turn the main trend to down. A new minor range has formed between 1.1391 and 1.1130. Its pivot price is 1.1261. This price is currently being tested. Sentiment could shift strongly to the upside if this level is taken out with conviction.

A cluster of Gann angles comes in at 1.1259, 1.1265 and 1.1271. Overtaking this area will also be a sign of strength.

A sustained move over 1.1271 could lead to an eventual test of the next angle at 1.1331. This is followed by angles at 1.1361, 1.1376 and 1.1384. The latter is the last angle before the 1.1391 main top.

Look for a bearish tone the rest of the session if 1.1259 fails and a bullish tone if buyers can hold the market over 1.1271.

Hourly EUR/USD Technical Analysis

 

Despite the strong rally from 1.1130, the main trend is still down according to the swing chart. A trade through 1.1288 will turn the main trend to up.

The main range is 1.1391 to 1.1130. Its retracement zone is 1.1261 to 1.1291. This zone is currently being tested. Based on the current price action, a sustained move over 1.1291 will be bullish while taking out 1.1261 with conviction will be a sign of weakness.

If a short-term range forms between 1.1130 and 1.1278 then watch for a potential correction back to 1.1204 to 1.1186 if the 50% level at 1.1261 fails as support.