EUR/USD Mid-Session Technical Analysis for September 11, 2014

Daily EUR/USD Technical Analysis

The EUR/USD is in a position at the mid-session to breakout to the upside.

The short-term range is 1.2859 to 1.2962. The mid-point of this range is 1.2911. This price is controlling the short-term direction of the market. Holding above this price at the mid-session is giving the EUR/USD a bias to the upside.

The major downtrending angle to watch is 1.2952. This angle, from the 1.3432 top on August 8, is moving down at a rate of .002 per day. Taking out this price with conviction could trigger an acceleration to the upside.

The near-term range is 1.3159 to 1.2859. The retracement zone formed by this range at 1.3009 to 1.3044 is the next likely upside target.

There will be a slightly bullish tone as long as the pivot holds at 1.2911. Trader reaction to this price will set the tone for the market the rest of the day. At the mid-session, the tone is bullish.

Hourly EUR/USD Technical Analysis

The main trend is up on the hourly chart. Despite the corrective move from 1.2962 to 1.2883, the main trend never turned down on the hourly chart.

The current EUR/USD rally is being supported by higher bottoms at 1.2896 and 1.2911. A pair of 50% retracement levels at 1.2922 and 1.2911 is also providing support.

Holding these levels could provide enough upside momentum to drive the market into the main top at 1.2962. Taking out this level with conviction could lead to a further rally into another hourly top at 1.2986.

Based on the main range of 1.3153 to 1.2859, the main upside target on the hourly chart is the retracement zone at 1.3039 to 1.3067.

Look for an upside bias today as long as 1.2911 holds as support. This price is both a swing bottom and a 50% level so breaking this level will indicate a change in sentiment.