Technical outlook and chart setups:
The EUR/USD pair dropped lower from swing highs (1.1450/60) to 1.1100/10. Please note that the level of 1.1100 is also the fibonacci 0.382 support of a rally between 1.1050 and 1.1450 as seen here. The pair is expected to form the bottom here. Now, it is hence recommended to initiate long positions with risk at 1.0500. Immediate support is seen at the level of 1.090 (interim) followed by 1.1050, 1.0675 and lower, while resistance is seen at 1.1350, followed by 1.1450 and higher respectively.
Initiate long positions now, stop at 1.0500, a target is open.
The material has been provided by InstaForex Company – www.instaforex.com