Today’s EUR/USD range 1.0865 to 1.0665, 200 pips and down 2 pips from last evening. Previous range 1.0900 to 1.0698, top dropped 35 pips while bottom also dropped 33.
Mentioned bounce from 1.0715 to 1.0720, saw bottom at 1.0711 reach 1.0756. Upper most point last evening was 1.0785 and 1.0788.
Bounce and target today remains 1.0788, 1.0791 and 1.0792. Targets achieve destination upon break at 1.0751 and 1.0755. At 1.0792 is vital point to see EUR/USD 1.0801 and 1.0820.
Below bottoms from 1.0687 to 1.0700 are many points and massively strong. Main break points to see bottoms are 1.0730 and 1.0726 then home free to 1.0700’s.
Main break point overall for shorts to see much lower EUR/USD remains 1.0629. Much lower EUR/USD means 1.0595, 1.0587 and 1.0558. Then comes 1.0497, 1.0466 and 1.0361.
EUR/USD overall remains top heavy along the curve while USD sits middle range. Top heavy means any price rises are correction, direction is down and rallies meant to sell. Overall, range breaks are located at 1.0856 and 1.0957. The point of note to 1.0856 is 1.0801 and 1.0826 comes dangerously close to range point. Range points and breaks hold far more significant meaning than everyday traded levels and or bottoms and tops.
What is seen is EUR/USD levels are beginning to open wider which means more volatility is on the way in days ahead.
Brian Twomey, Inside the Currency Market, btwomey.com