The EUR/USD pair initially rose during the Thursday session, but found resistance too strong at the 1.31 handle. This general vicinity looks like it’s trying to form a bit of a double top, but the pullback should be kept in perspective. This was a fall and a typo shooting star, but it isn’t really until we cross the 1.28 level that buyers will be concerned. In fact, until we get below that area this is simply consolidation.
Looking at this chart, a move above the 1.32 handle would have the resolve of a lot of money coming into the markets looking to buy. We would do the same of course, but we do understand the fact that there is a lot of noise between here and 1.35, so will not be an easy trade.
Written by FX Empire