In theory, the simple moving average should push the rate up to the cluster of various resistance levels that surround the 1.8500 mark.
Daily Candle Chart
On the daily candle chart, it can be seen that the 55-day simple moving average is declining and provides resistance at the 1.8500 level. Meanwhile, the 100-day SMA has begun to provide support to the currency exchange rate.
In theory, as the pair fluctuates sideways, the SMAs should squeeze the pair and a sharp break out would occur.
Market Depth
The market depth data gives guidance, as the buy and sell order clusters shown on the chart and data tables can be used for creating a trading strategy.
First of all, take into account that above the 2.0700 mark at each price level there are orders to sell at least 200 Dukascoin.
Meanwhile, notable sell orders were located at the 2.0000 level, where 225 coins could be sold.
However, the most notable sell order cluster was near the 1.8500 level. At the 1.8400 level 300 coins would be sold, and 610 coins would be exchanged at 1.8500.
In the meantime, there is only one price level, where buy orders are located at in large numbers. At the 1.7000 level, there are orders to buy almost 1,200 Dukascoins.
© Dukascopy Bank SA
© Dukascopy Bank SA
© Dukascopy Bank SA
Future outlook
In regards to the future, the pair is expected to get pushed into the 1.8500 level by the 100-day simple moving average. At that exchange level the rate would test a strong cluster of resistance levels.
In the case of the 1.8500 level failing to hold, the rate would aim at the 2.0000 level, where a minor cluster of sell orders is located.
On the other hand, the 100-day SMA could fail to push the rate higher. In this case scenario, the DUK+/EUR rate could trade sideways or reach for the support of the buy orders at 1.7000.