{"id":21092,"date":"2011-05-13T10:07:30","date_gmt":"2011-05-13T14:07:30","guid":{"rendered":"http:\/\/countingpips.com\/fx\/?p=21092"},"modified":"2011-05-13T10:07:30","modified_gmt":"2011-05-13T14:07:30","slug":"eurusd-potential-head-and-shoulders-pattern","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/fx\/2011\/05\/13\/eurusd-potential-head-and-shoulders-pattern\/","title":{"rendered":"EUR\/USD \u2013 Potential Head and Shoulders Pattern?"},"content":{"rendered":"<p><strong>By Russell Glaser<\/strong><\/p>\n<p>The daily chart for the EUR\/USD shows a potential head and shoulders reversal pattern forming.<\/p>\n<p>Following last week\u2019s close below the  January to May trend line the formation of a bearish head and shoulders  pattern is beginning to develop The downward sloping  neckline comes in  today at 1.4120 near <a href=\"http:\/\/www.forexyard.com\/blog\/en\/2011\/05\/13\/euro-and-silver-comes-off-of-lows-as-markets-look-towards-us-inflation-numbers\/\">yesterday\u2019s low<\/a> which coincides with a 38.2% Fibonacci retracement (1.4150).<\/p>\n<p>Judging from the chart pattern, a move following a breach below the  neckline would take the pair lower by roughly 8 cents. However, a more  likely target is the 1.3430 level. This price has technical significance  as it has shown in the past to be both resistive in early January and  supportive in mid-February. 1.3330 off of the August 2010 pivot (not  shown) could also come into play.<\/p>\n<p>Should the EUR\/USD head and shoulders chart pattern fail to  materialize, resistance to the upside is found at 1.4450, followed by  the May high at 1.4940.<\/p>\n<p><img loading=\"lazy\" decoding=\"async\" title=\"EURUSD_Daily\" src=\"http:\/\/www.forexyard.com\/blog\/en\/wp-content\/uploads\/2011\/05\/EURUSD_Daily1.JPG\" alt=\"EURUSD_Daily\" width=\"624\" height=\"583\" \/><\/p>\n<p><em><strong><a href=\"http:\/\/www.forexyard.com\/?zone_id=1398\" target=\"_blank\">Forex Market Analysis provided by ForexYard. <\/a><\/strong><\/em><em><strong><a href=\"http:\/\/www.forexyard.com\/?zone_id=1398\" target=\"_blank\"><br \/>\n<\/a><\/strong><\/em><\/p>\n<p>\u00a9 2006 by FxYard Ltd<\/p>\n<p>Disclaimer: Trading Foreign Exchange carries a high level of risk and                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 may                                           not                                        be                                                                                                                                                  suitable                                                        for                                                                       all                                                                                                                                                                                                                             investors.                                                                                                              There                                                                                        is                           a                                                                                                                                                                                                                                                                                                                                                                   possibility                                                                                                                                    that                                                                                                                                                                           you                                                                                                                   could                                                                                                                                                                       sustain       a                                                                   loss                                                                                                         of                                          all                                                                         of                                                                                           your                                                                                                                                                                                                                                                                                                                                           investment                                   and                                                                                                                                                                                                                                                                            therefore                                             you                                                                                                                                                                                                                      should                                                               not                                                                                                                                                              invest                                                                                                                                                                   money                                                                 that                                                                                 you                                                                                                                                                                                                                cannot                                                                                                                                                afford                           to                                                                                                                                                                             lose.                                                            You                                                                                                                                                                                                  should                                                                            be                                                                                                  aware                                                                    of                                                                                                                                               all                                                                                  the                                                                                          risks                                                                                                                                                                                                                                                                                   associated                                                                                                                   with                                                                                                                             Foreign                                                                                                                                                                                                   Exchange                                                                                                                                                                                                                    trading.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Following last week\u2019s close below the January to May trend line the formation of a bearish head and shoulders pattern is beginning to develop The downward sloping neckline comes in today at 1.4120 near yesterday\u2019s low which coincides with a 38.2% Fibonacci retracement (1.4150).<\/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-21092","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/21092","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/comments?post=21092"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/21092\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/media?parent=21092"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/categories?post=21092"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/tags?post=21092"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}