EUR/USD Mid-Session Technical Analysis for July 19, 2017

The EUR/USD is trading lower shortly before the U.S. session. The Forex pair is also trading inside yesterday’s range, which suggests investor indecision and impending volatility.

Technical Analysis

The main trend is up according to the daily swing chart. A trade through 1.1583 will signal a resumption of the uptrend with the May 3, 2016 main top at 1.1616 the primary upside target.

The short-term range is 1.1312 to 1.1583. Its retracement zone at 1.1447 to 1.1416 is the primary downside target.

Forecast

Based on the current price at 1.1524, the direction of the EUR/USD the rest of the session is likely to be determined by trader reaction to a pair of uptrending angles.

Currently the Euro is resting on a short-term uptrending angle at 1.1512. A sustained move over this angle will indicate the presence of buyers. This could lead to a test of the longer-term uptrending angle at 1.1538.

Crossing to the strong side of the angle at 1.1538 will indicate the buying is getting stronger. This could generate enough upside momentum to challenge 1.1583.

A sustained move under 1.1512 will signal the presence of sellers. The daily chart is wide open to the downside so if the selling volume is strong enough to take out this angle then look for an eventual break into the short-term retracement zone at 1.1447 to 1.1416.

Basically, we’re looking for an upside bias to develop on a sustained move over 1.1538 and a downside bias to develop on a sustained move under 1.1512.