The point at 1.0887 remains big huge break. As mentioned last evening, it will break. Bottoms are located at 1.0886 and 1.0913. This means EUR/USD is currently in daily reversal zone but 1.0913 must break to go higher, until the American opening. What 1.0887 means, EUR/USD could see permanent lower exchange rates for quite some time. We could easily see a 1.0400 – 1.0800 range to last again for a long long time. 1.0887 is not just a break, its colossal. Forget oversold overbought, the ECB is targeting this break and its been building for quite some time.
Any rallies will be contained below upper targets at 1.0944 and 1.0956. Above 1.1016 dropping line was 1.1018 last evening, then 1.1032 and 1.1071. Dropping lines 1.1016, 1.1032 and 1.1071. A break of 1.0887 targets 1.0812, last evening point was 1.0786. Lines are always dynamic. Continue selling any rallies although rallies should remain very shallow.
USD/CAD. Longs from Sunday night open from 1.3510 so far saw 1.3587 for 77 pip gain. Continue to buy dips as mentioned USD/CAD going far higher.
Brian Twomey, Inside the Currency Market, btwomey.com