Technical outlook and chart setups:
The EUR/USD pair is seen to be trading around the levels of 1.0935/40 at the moment. Please note that the pair has retraced to its fibonacci 0.618 support levels (a rally between 1.0806 and 1.1128). The pair is expected to resume its upswing from current levels and to extend up to the level 1.1330. It is recommended to initiate long positions now, with risk around 1.0800. Immediate support is seen at 1.0806 followed by 1.0520 and lower on the daily chart while resistance is seen at 1.1200/70 followed by 1.1430/50 and higher respectively. There is a strong probabitity that a rally can take place until prices remain above the level of 1.0800.
Initiate long positions, stop is at 1.0800, a target is at 1.1330+.
The material has been provided by InstaForex Company – www.instaforex.com