{"id":101838,"date":"2017-02-07T05:53:56","date_gmt":"2017-02-07T10:53:56","guid":{"rendered":"http:\/\/countingpips.com\/?p=101838"},"modified":"2017-02-07T05:53:56","modified_gmt":"2017-02-07T10:53:56","slug":"eurusd-increased-risk-of-the-trend-line-being-broken","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex\/2017\/02\/eurusd-increased-risk-of-the-trend-line-being-broken\/","title":{"rendered":"EUR\/USD: increased risk of the trend line being broken"},"content":{"rendered":"<div id=\"inves-2773345039\" class=\"inves-below-title-posts inves-entity-placement\"><div id =\"posts_date_custom\"><div align=\"left\">February 7, 2017<\/div><hr style=\"border: none; border-bottom: 3px solid black;\">\r\n<\/div><\/div><p><strong>By\u00a0Gabriel Ojimadu, Alpari<\/strong><\/p>\n<div class=\"reviews-item__content\">\n<p><strong><em>Previous:<\/em><\/strong><\/p>\n<p>At the end of Monday&#8217;s trading, the EUR\/USD rate closed in negative territory. During the American session, the rate rebounded from a minimum of 1.0705 up to 1.0755. I don&#8217;t believe that there was any significant news behind this rebound. It was a standard correction after Friday&#8217;s payrolls.<\/p>\n<p><strong><em>Market expectations:<\/em><\/strong><\/p>\n<p>Trading in Asia moved yesterday&#8217;s low to 1.0704. From a high of 1.0755, the euro slid by 45 degrees. A strong support has formed at this level over the past couple of days. the rate also kissed the trend line.<\/p>\n<p>I think that the trend line will be broken through on Wednesday. Before this happens, it would be nice to see the rate revert to around 1.0740\/43. In such a case, we could be sure that the line would be broken through at the first attempt, and that all traders on the hourly timeframe would see a triangle form.<\/p>\n<p>Should it be broken through today, with the current pricing model putting the maximum at 1.0829, there is a high chance that this will be a false breakthrough. Buyers can trust the stop levels, but nothing more. The hourly indicators are badly positioned for offensive strategies.<\/p><div id=\"inves-2986907499\" class=\"inves-in-content inves-entity-placement\"><hr style=\"border: 1px solid #ddd;\">\r\n<div id=\"inpost_ads_header\">\r\n<p style=\"font-size:10px; float:left; color:#666;\">Free Reports:<\/p><\/div>\r\n<div id=\"inpost_ads\"> \r\n<p style=\"font-size:15px; float:left;\"><a href=\"https:\/\/goo.gl\/1ApBOV\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/investmacro.com\/wp-content\/uploads\/2018\/06\/graph_techs_PD.png\" align=\"left\" width=\"80\"  height=\"55\"\/><\/a>\r\n\t     <a href=\"https:\/\/goo.gl\/1ApBOV\"><b><u>Get Our Free Metatrader 4 Indicators<\/u><\/b><\/a> - Put Our Free MetaTrader 4 Custom Indicators on your charts when you join our Weekly Newsletter<\/p><br><br>\r\n<br>\r\n<br>\r\n<p style=\"font-size:15px; float:left;\"><a href=\"https:\/\/goo.gl\/f3RrHX\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/investmacro.com\/wp-content\/uploads\/2019\/01\/cot_pie_80.png\" align=\"left\" width=\"80\"  height=\"55\"\/><\/a>\r\n\t    <a href=\"https:\/\/goo.gl\/f3RrHX\"><b><u>Get our Weekly Commitment of Traders Reports<\/u><\/b><\/a> - See where the biggest traders (Hedge Funds and Commercial Hedgers) are positioned in the futures markets on a weekly basis.<\/p><br><br>\r\n<\/div>\r\n<hr style=\"border: 1px solid #ddd;\">\r\n<br><\/div>\n<p><strong><em>Day&#8217;s news:<\/em><\/strong><\/p>\n<ul class=\"list list_type_disc\">\n<li>9:45 Switzerland: SECO consumer climate (Nov-Jan);<\/li>\n<li>10:00 Germany: industrial production (Dec);<\/li>\n<li>11:00 Switzerland: foreign currency reserves (Jan);<\/li>\n<li>11:30 UK: Halifax house prices (Jan);<\/li>\n<li>16:30 Canada: trade balance (Dec), building permits (Dec); USA: trade balance (Dec);<\/li>\n<li>18:00 Canada: Ivey Purchasing Managers Index (Jan); USA: JOLTS job openings (Dec), IBD\/TIPP economic optimism (Feb);<\/li>\n<li>23:00 USA: consumer credit change.<\/li>\n<\/ul>\n<p><img decoding=\"async\" src=\"http:\/\/www.alpari.ru\/data\/media\/trunk\/images\/Analytics\/2017\/02\/eur_070217.png\" alt=\"\" \/><\/p>\n<p align=\"center\">EURUSD rate on the hourly. Source: TradingView<\/p>\n<p>Intraday forecast: low; 1.0704 (current in Asia), high: 1.0742, close: 1.0712.<\/p>\n<p>My expectations for the euro yesterday came true in full. The euro rate corrected against Friday&#8217;s American session and returned to around 1.0750 by closing time.<\/p>\n<p>In Asia, the euro weakened against the dollar to 1.0704. The rate is now around the horizontal support and trend line. It&#8217;s apparent that buyers are reluctant to cross this line. I think that the breakthrough will happen on Wednesday, which is exactly why I&#8217;ve made a two-day forecast.<\/p>\n<p>I believe that from its current level, it would be good for the rate to return to around 1.0735-1.0743. From this range, traders can sell their euros on the assumption that the triangle will bring the price down. As a target, one can first take 1.0652 for the 90<sup>th<\/sup> degree, and then 1.0626 for the 112<sup>th<\/sup>.<\/p>\n<p>US bond yields are declining, so there is no reason for aggressively shorting the euro for the moment. The EUR\/GBP cross is currently in unison with sellers, but again the hourly indicators show that a correction is overdue.<\/p>\n<div class=\"s_invisible_yes\">Source: &#8220;<a href=\"https:\/\/alpari.com\/en\/analytics\/reviews\/market_sessions\/18094_07022017\/\">EUR\/USD: increased risk of the trend line being broken<\/a>&#8220;<\/div>\n<\/div>\n<div class=\"s_invisible_yes\"><\/div>\n<div class=\"s_invisible_yes\"><\/div>\n<div class=\"s_invisible_yes\"><\/div>\n<div class=\"s_invisible_yes\"><\/div>\n","protected":false},"excerpt":{"rendered":"<p>By\u00a0Gabriel Ojimadu, Alpari Previous: At the end of Monday&#8217;s trading, the EUR\/USD rate closed in negative territory. During the American session, the rate rebounded from a minimum of 1.0705 up to 1.0755. I don&#8217;t believe that there was any significant news behind this rebound. It was a standard correction after Friday&#8217;s payrolls. Market expectations: Trading [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-101838","post","type-post","status-publish","format-standard","hentry","no-post-thumbnail"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/101838","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/comments?post=101838"}],"version-history":[{"count":1,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/101838\/revisions"}],"predecessor-version":[{"id":101839,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/101838\/revisions\/101839"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/media?parent=101838"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/categories?post=101838"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/tags?post=101838"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}