Coming off 18-year high where 3 blue AT lines indicate a bearish pattern that would need to break 217.31 to break momentum and confirm a high is in for now..
Note, with USDJPY trading a tight range, most of the moves in this cross are coming from moves in GBPUSD.
One week ago it was highlighted here a directional shift in risk to the downside after a 12-day pivot around 1.42 was broken.
In this regard, the 1.3950 target remains intact but 1.40, more psychological than technical) remains an obstacle to exposing it.
Retreat from just below a one year high (.8152 vs., .8169 ) would need to break .8009 (use .8000 as well ) to negate current momentum and shift it the other way.
Otherwise, move down will likely be treated as a retracement.
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Daily chart: Downtrend but consolidating while above the 3942 low.
Other charts: So far unable to shake a focus from 4000 after a bunce from a pause above 3861 (low at 3969) , the last obstacle to 3942.
Stalemate: 2 week range: 1.6127 – 162.84
Trades bid while above 162 but BoJ intervention threat restraining a stronger push up.
So far unable to sustain momentum off higher lows (red AT lines) after extending high to 1.1482.
For momentum to build, EURUSD would need to get through 1.1508 = 61.8% of 1.1622 => 1.1324
Failure to hold 1.35+ has seen a move below the 1.3461 breakout level
Catalyst: EURGBP bounce back above .8500 has been a weight on GBPUSD while EURUSD lags and trades a tight range. See upcoming article on using crosses to trade spot currencies.
IS BTCUSD bid or bid in an offered market?
Answer: Jury is out unless 65525 is firmly broken (came close) on the upside or 60/61K is broken on the downside
If you followed our USDCAD posts you will learn a good lesson on how directional signals can come from a break of a pattern trading around a key round number.
In this case it was a break of a 12-day pivoit around 1.,42.
