Currency pair Euro/Dollar EUR/USD continues to move as part of the bullish correction and the formation of the «Head and Shoulders» reversal pattern. Moving averages indicate the presence of a short-term downtrend for the pair. Prices are trading above signal lines, indicating bullish pressure. At the time of the publication of the forecast, the Euro/Dollar rate is 1.1073. At the moment, we should expect an attempt to continue the upward correction and test the resistance level near the area of 1.1080. Further, the rebound and continued fall of the Euro /Dollar currency pair. The potential target of this movement is the area below the level of 1.0915.
EUR/USD Forecast Euro Dollar October 17, 2019
An additional signal in favor of reducing the EUR/USD quotes will be a rebound from the resistance area on the relative strength index (RSI). The second signal will be the formation of an inverted model «Head and Shoulders». Cancellation of the option to reduce the quotes of the Euro/Dollar pair will be a strong growth and the breakdown level of 1.1135. This will indicate a breakdown of the resistance area and continued growth in the area at the level of 1.1265. Expect to accelerate the fall in the EUR/USD pair with the breakdown of the support area and closing below 1.0975.
Among the important news from Europe and America that can affect the EUR/USD pair, it is worth highlighting: European Union Leaders Summit, United States Building Permits.
EUR/USD Forecast Euro Dollar October 17, 2019 implies an attempt to correct and test the resistance area near the level of 1.1080. Where can we expect a rebound and an attempt to continue the fall of the pair in the area below the level of 1.0915. In favor of reducing the currency pair, a test of a downward trend line on the relative strength index (RSI) will come out. Cancellation of the option of falling EUR/USD will be a strong growth and the breakdown level of 1.1135. This will indicate a breakdown of resistance and continued growth of the pair in the area above the level of 1.1265.