{"id":117280,"date":"2017-11-28T07:45:23","date_gmt":"2017-11-28T12:45:23","guid":{"rendered":"http:\/\/countingpips.com\/?p=117280"},"modified":"2018-06-01T15:49:05","modified_gmt":"2018-06-01T15:49:05","slug":"eurusd-reversal-candlestick-on-the-daily-timeframe","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex\/2017\/11\/eurusd-reversal-candlestick-on-the-daily-timeframe\/","title":{"rendered":"EURUSD: reversal candlestick on the daily timeframe"},"content":{"rendered":"<div id=\"inves-238583367\" class=\"inves-below-title-posts inves-entity-placement\"><div id =\"posts_date_custom\"><div align=\"left\">November 28, 2017<\/div><hr style=\"border: none; border-bottom: 3px solid black;\">\r\n<\/div><\/div><p><strong>By Gabriel Ojimadu, Alpari<\/strong><\/p>\n<div class=\"reviews-item__content\">\n<p><strong>Previous:<\/strong><\/p>\n<p>On Monday the 27<sup>th<\/sup>\u00a0of November, trading on the euro\/dollar pair closed down. Monday\u2019s movements went against Friday\u2019s, except that the euro made a couple of highs before dropping. After a housing market report from the US, buyers started to cash in on their long positions. The report showed an increase in new home sales where markets had expected a decline. The euro reacted to this with a drop to the balance line at 1.1891.<\/p>\n<p>Robert Kaplan, the president of the Dallas Fed, provided additional support to the dollar when he announced that he is in favour of raising interest rates by another 25 base points at the Fed\u2019s December meeting.<\/p>\n<p><strong>Day\u2019s news (GMT+3):<\/strong><\/p>\n<ul class=\"list list_type_disc\">\n<li>10:00 UK: bank stress test results.<\/li>\n<li>10:30 UK: BoE Governor Mark Carney\u2019s speech.<\/li>\n<li>10:45 France: consumer confidence (Nov).<\/li>\n<li>12:00 Eurozone: private loans (Oct), M3 money supply (Oct).<\/li>\n<li>15:00 Germany: Gfk consumer confidence survey (Dec).<\/li>\n<li>16:30 Canada: industrial product price (Oct).<\/li>\n<li>16:30 USA: goods trade balance (Oct).<\/li>\n<li>17:00 USA: S&amp;P\/Case-Shiller home prices index (Sep).<\/li>\n<li>17:15 USA: Fed\u2019s William Dudley speech.<\/li>\n<li>17:45 USA: Fed\u2019s Jerome Powell speech.<\/li>\n<li>18:00 USA: Richmond Fed manufacturing index (Nov).<\/li>\n<li>18:15 USA: FOMC member Harker\u2019s speech.<\/li>\n<li>18:30 Canada: financial system review.<\/li>\n<li>19:30 Canada: BoC Governor Poloz\u2019s speech.<\/li>\n<li>23:00 New Zealand: RBNZ financial stability report.<\/li>\n<li>23:45 USA: Treasury Sec Steve Mnuchin\u2019s speech.<\/li>\n<\/ul>\n<p><img decoding=\"async\" class=\"aligncenter\" src=\"https:\/\/alpari.com\/data\/media\/trunk\/images\/Analytics\/2017\/11\/eur_281117.png\" alt=\"\" \/><\/p>\n<p align=\"center\">Fig 1. EURUSD rate on the hourly. Source: TradingView<\/p>\n<p>The dollar has recovered about 50% of the ground lost against the euro during the Thanksgiving period. Given that US exchanges were working on a limited schedule, many Americans held off on entering the market until Monday. Because of this, trading volumes remained low.<\/p>\n<p>After the publication of US data, the euro dropped from the 202<sup>nd<\/sup>\u00a0degree to the balance line. This means that the market is now in equilibrium on the hourly timeframe and the price could go in any direction.<\/p>\n<p>Since the MA lines are all looking upwards, buyers will try to nurture this impulse and start a rally that will allow them to recover their positions. This would all be fine, except that in Asia, the euro\/pound cross is in the red and a reversal candlestick has formed on the daily timeframe.<\/p>\n<p>What does all this mean? In theory we should see the rate rise to 1.1918, or certainly no higher than 1.1935. This would mark the end to the correction of the downwards movement from 1.961 to 1.1891. After this, we could see a triple top form with a target of 1.1879 or 1.1852 depending on where the upwards correction ends.<\/p>\n<p>1.1860 \u2013 1.1880 is a strong support zone. So, if sellers manage to shift this on the first attempt, there will be an increased risk of retreating below the TR2 trend line below 1.1837.<\/p>\n<\/div>\n<p>Source:\u00a0<a href=\"https:\/\/alpari.com\/en\/analytics\/reviews\/market_sessions\/23245_28112017\/\" target=\"_blank\" rel=\"noopener\">EURUSD: reversal candlestick on the daily timeframe<\/a><\/p>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>By Gabriel Ojimadu, Alpari Previous: On Monday the 27th\u00a0of November, trading on the euro\/dollar pair closed down. Monday\u2019s movements went against Friday\u2019s, except that the euro made a couple of highs before dropping. After a housing market report from the US, buyers started to cash in on their long positions. The report showed an increase [&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-117280","post","type-post","status-publish","format-standard","hentry","no-post-thumbnail"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/117280","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=117280"}],"version-history":[{"count":2,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/117280\/revisions"}],"predecessor-version":[{"id":117282,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/117280\/revisions\/117282"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/media?parent=117280"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/categories?post=117280"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/tags?post=117280"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}