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Home » Daily Technical Reports » EUR/USD Technical Report 18/03/2016

EUR/USD Technical Report 18/03/2016

EUR/USD continued its surge on Thursday, breaking above the resistance (now turned into support) of 1.1270 (S1). The advance was stopped marginally above the 1.1325 (R1) line and then, the rate retreated somewhat. The short-term outlook stays positive in my view and as a result, I would expect a clear move above 1.1325 (R1) to open the way for the 1.1370 (R2) area, defined by the peak of the 11th of February. Nevertheless, taking a look at our short-term oscillators, I see signs that a pullback could be looming before the bulls decide to take the reins again. The RSI has topped within its overbought zone and looks able to fall below 70 soon, while the MACD, although above both its zero and trigger lines, shows signs of topping. Switching to the daily chart, I see that EUR/USD is still trading between the 1.0800 key zone and the psychological area of 1.1500. Therefore, I would keep the view that the broader trend remains sideways.

EURO 18

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