© Dukascopy Bank SA
Euro and pound was in focus of the media in quite of few cases recently which causes few noisy periods with increased volatility. This is reflected in the pattern's quality (being just slightly above the average). On the other hand, we have high level magnitude which offers significant trading opportunities. Due to the mentioned volatility we could not employ Fibonacci retracements in our analysis. Pair seems to have consolidated above the daily and weekly pivots and 20-day SMA which should be the main driver behind the pair in the nearest future. Week opening level (close to the daily R2) might cause some bearishness, but the effect should be short term.
© Dukascopy Bank SA