7 Apr 2015
EUR/USD could drop to 1.0880 – FXStreet
FXStreet (Barcelona) - FXStreet Editor and Analyst, Omkar Godbole, views that the bearish daily close along with present price action signals that EUR/USD might drop to its 10-DMA at 1.0880 levels.
Key Quotes
“The pair tested its 50-DMA at 1.1022 on Monday, before sliding to 1.0933 levels. The daily closing is highly bearish, as the pair has failed to sustain gains above 1.10 for the sixth time since the dovish Fed policy statement released in March.”
“On the charts, we see the pair has dipped below 1.0938 (5-DMA). The pair also faced rejection near the weekly 10-MA located at 1.1044 in the previous session, post which it was pushed below 1.10 levels.”
“At the moment, the 200-Ma on the 4-hour chart located at 1.0923 is acting as a strong support. However, with the bearish daily closing and rejection at 10-WMA, the pair could break below 1.0923 and fall to its 10-DMA located at 1.0880, 1.0872 (38.2% Fib retracement of 1.1532-1.0461), 1.0864 (weekly 5-DMA). The pair is likely to be sold on rallies till it trades below 1.10 levels.”
Key Quotes
“The pair tested its 50-DMA at 1.1022 on Monday, before sliding to 1.0933 levels. The daily closing is highly bearish, as the pair has failed to sustain gains above 1.10 for the sixth time since the dovish Fed policy statement released in March.”
“On the charts, we see the pair has dipped below 1.0938 (5-DMA). The pair also faced rejection near the weekly 10-MA located at 1.1044 in the previous session, post which it was pushed below 1.10 levels.”
“At the moment, the 200-Ma on the 4-hour chart located at 1.0923 is acting as a strong support. However, with the bearish daily closing and rejection at 10-WMA, the pair could break below 1.0923 and fall to its 10-DMA located at 1.0880, 1.0872 (38.2% Fib retracement of 1.1532-1.0461), 1.0864 (weekly 5-DMA). The pair is likely to be sold on rallies till it trades below 1.10 levels.”