EUR/USD Mid-Session Technical Analysis for October 23, 2014

Daily EUR/USD Technical Analysis

The EUR/USD sold off early in the session, but then buyers came in to put the market on the plus side at the mid-session.

The low of the session is 1.2613. This is slightly above the October 10 minor bottom at 1.2605. The turnaround in the market also put the Euro on the strong side of an uptrending angle at 1.2640. Look for an upside bias as long as this angle holds as support.

The first objective is a pivot price at 1.2693, followed by a downtrending angle at 1.2724.

If support fails at 1.2640 and downside momentum is created then traders may go after the next angle at 1.2570. This is the last support before the main bottom at 1.2500.

Hourly EUR/USD Technical Analysis

Buyers came in to support the EUR/USD on the hourly chart to form a potentially bullish closing price reversal bottom at 1.2613. The move was confirmed and the main trend changed to up on a trade through 1.2654.

The main range is 1.2739 to 1.2613. The retracement zone formed by this range at 1.2676 to 1.2691 is the next potential upside target.

If the market meets selling pressure inside the retracement zone then look for a retracement of the rally from 1.2613.

If the buying is strong enough to take out 1.2691 then look for the rally to extend into a long-term downtrending angle at 1.2709.

The tone of the session will be determined by trader reaction to 1.2676 to 1.2691.