Extremely erratic price action for EURUSD already this week in reaction to the indecisive tone from the Greek Debt situation. This leaves bias for further volatile activity within a range environment, and we try to examine near term key parameters below.
EURUSD Key Support/ Resistance Focus
A bear gap Monday (subsequently closed) through 1.1048 signalled a shift to a broader range environment.
The rally to close the bear gap, but then stall back lower leaves a very indecisive tone for Tuesday and (not surprisingly) for this week.
For Today: We see a neutral tone between 1.1283 and 1.1081 (with a positive bias)
- Break above 1.1283 aims for 1.1410, which we would look to try to cap.
- Break below 1.1081 aims for 1.0983, which we would look to try to hold.
Short/ Intermediate-term Range Parameters: We see the broader range defined by 1.1436 and 1.0819.
Range Breakout Challenge
- Upside: Above 1.1436 aims higher for 1.1467, 1.1534 and 1.1680.
- Downside: Below 1.0819 sees risk lower for 1.0658, 1.0520 and 1.0459.
Daily EURUSD Chart