Date: 119.11.2012 Time: 16:30 Rate: 1.2810
Daily chart
Last Review
EUR/USD Forecast- It looks like the price is stopping on the 1.2678 support level, while it is creating a candle called “Hammer” (at the moment, we will have to wait until the closure of the candle).
This type of candle shows a massive entrance of the buyers while it is seen on a support level and it is possible that we will see a creation of an uptrend which will perform a correction in size of between a third and two thirds of the downtrend started on the 1.3000 price level area. On the other hand, another breaking of the 1.2678 support level will probably lead the price to a continuation of the downtrend towards the 1.2600 price level, which is a 50% Fibonacci correction of the last uptrend (black broken line).
Current review for today
EUR/USD Forecast- Since the last daily review, it is possible to see that the last descending move has stopped on the 1.2678 price level and currently the price is performing a technical correction in size of between a third and two thirds of this trend. The price is currently located in a significant resistance area which contains the 1.2825 resistance level and the Bollinger’s moving average which is used as a dynamic resistance. Breaching the 1.2825 price level and its establishment above the Bollinger’s moving average will probably lead the price in first stage towards the closest resistance on the 1.2900 price level. On the other hand, stoppage of the price at the current area and another breaking of the 1.2670 price level will probably lead the price towards the closest Fibonacci of the 1.2600 price level at first stage.
You can see the chart below:
Date: 19.11.2012 Time: 16:45 Rate: 1.2812
4 Hour chart
Last Review
EUR/USD Forecast- The price is showing stoppage signs of the downtrend on the minor support, the 1.2690 price level while it is creating a “morning star” pattern followed by a “Hammer” candle, they are both showing the growing strength of the buyers which are trying to prevent the price from moving under this level. Creation of an ascending price structure will probably create an uptrend which will correct the downtrend marked with blue broken line by 38.2% at first stage, meaning to the 1.2800 price level. On the other hand, proven breaking of the 1.2690 price level will continue the downtrend towards the closest support on the 1.2638 price level.
Current review for today
EUR/USD Forecast- Breaching the 1.2758 price level brought the price towards the 1.2800 resistance level and even passed it. At the moment the price is going back to check whether this level can change roles from a resistance to support, it is possible to assume that the establishment of the price above this level will lead it towards the 1.2841 price level (which is used as a 50% Fibonacci correction that is marked with blue broken line) and breaching this level will lead the price towards the next Fibonacci on the 1.2883 price level. It is possible to clearly see the creation of an ascending price structure , that shows the ending of the downtrend and gives a clue that the current peak is not the last one we will see.
You can see the chart below:
