EUR/USD Mid-Session Technical Analysis for November 18, 2015
Daily EUR/USD Technical Analysis
The EUR/USD is trading higher at the mid-session. Earlier in the session, the Forex pair took out yesterday’s high without much fanfare, but it did help form a new minor bottom at 1.0630.
The direction of the market today is likely to be determined by trader reaction to the steep downtrending angle at 1.0659.
A sustained move over 1.0659 will signal the presence of buyers. The daily chart indicates there is plenty of room to the upside with potential targets at 1.0730 and 1.0749.
A sustained move under 1.0659 will indicate the presence of sellers. The daily chart indicates the first downside target is the minor bottom at 1.0630. Taking out this level could trigger an acceleration to the downside with the next potential target a steep, long-term angle at 1.0534. This is followed by the April 13 bottom at 1.0520.
Watch the price action and order flow at 1.0659. Trader reaction to this angle will tell us whether the bulls or the bears are in control.
2-Hour EUR/USD Technical Analysis
The main trend is up according to the 2-Hour EUR/USD swing chart.
The new short-term range is 1.0630 to 1.0692. Its pivot at 1.0661 is controlling the short-term direction of the market. Trader reaction to this pivot should help determine the direction of the market into the close today.
A sustained move under 1.0661 will indicate the presence of sellers. This could encourage further selling pressure with 1.0630 the next likely target. The market opens up to the downside under this level with 1.0520 the next major downside target.
A sustained move over 1.0661 will signal the presence of buyers. This may create enough upside momentum to challenge today’s high at 1.0692.
Things begin to get interesting above 1.0692. Because of the layered resistance levels at 1.0700, 1.0716, 1.0730 and 1.0753, look for a labored rally.
The EUR/USD begins to open up to the upside over 1.0753 and especially over the swing top at 1.0769. A move over this level will reaffirm the uptrend.
If following the 2-Hour EUR/USD chart, watch the order flow and read the price action at 1.0659 to 1.0661. Overcoming 1.0659 will put the market on the strong side of a daily angle. Overtaking 1.0661 will put the Euro on the strong side of an intra-day pivot.