EURUSD: Negative Tone

Hi there traders this is Steve Miley on behalf of forextraders.com and here we’re looking at the Euro versus the US dollar; Euro against the US dollar. The EURUSD short-term, day trade outlook.

Well over the last 24/36 hours we’ve had this plunge lower taking out these supports in here: 1.1071 and just below 1.1063 down to 1.1062 and that’s signalled a double top pattern in here, shifting the short term outlook to more negative and threatening the intermediate term outlook. If we get below 1.0989/ 1.0982 down here we would see the intermediate term bullish theme in here shift to more neutral.

And on the very short term basis, on a day trade basis, the threat is still lower. Overnight in here the market hardly rebounding. Downside risks down to and through 1.1062 for 1.1021 and maybe towards these critical targets of 1.0989 and 1.0982.

On the top side, really, the market is going to have to recover all the way back up through here, this impulse point at 1.1117. Only back up through there eases bearish pressures and signals a shift back to a more positive day trade theme.

This has been Steve Miley on behalf of forextraders.com.

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