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EUR/USD: trend-line break leads to move lower

   
The EUR/USD has now broken below its trend-line and moved lower. The move has reached the 1.1240s and there is now a possibility of a break down even further towards the first target for the pair at 1.1191, where the 200-4hr MA is situated which is at the same level as the target based on the height of the double top.

Given the exchange rate has broken below the trend-line and the break is significant since the line has been touched five times, the probabilities favour a continuation lower, at least to the minimum price expectation for the pair at 1.1191; after that the dominant mini-up-trend higher may resume. A break below the day’s lows currently at 1.1233 could provide a quick short signal down for those willing to take a risk.

A further break 20 points below – so below 1.1167 – would probably result in a run down to the Monthly Pivot at 1.1087.

If the mini-up-trend extends higher, and its confirmed by a break above the 1.1435 highs, this would probably run up to 1.1466 and a move 20 points above that – so above 1.1486 to resistance at 1.1534.
EURUSD23

   
The EUR/USD has now broken below its trend-line and moved lower. The move has reached the 1.1240s and there is now a possibility of a break down even further towards the first target for the pair at 1.1191, where the 200-4hr MA is situated which is at the same level as the target based on the height of the double top.

Given the exchange rate has broken below the trend-line and the break is significant since the line has been touched five times, the probabilities favour a continuation lower, at least to the minimum price expectation for the pair at 1.1191; after that the dominant mini-up-trend higher may resume. A break below the day’s lows currently at 1.1233 could provide a quick short signal down for those willing to take a risk.

A further break 20 points below – so below 1.1167 – would probably result in a run down to the Monthly Pivot at 1.1087.

If the mini-up-trend extends higher, and its confirmed by a break above the 1.1435 highs, this would probably run up to 1.1466 and a move 20 points above that – so above 1.1486 to resistance at 1.1534.
EURUSD23



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