Euro continues the correctional rise – Technical Analysis – 02-11-2015

The EURUSD pair closed higher by the end of last week, attempting to recover some of the previous losses and retrace this short term bearish trend, to reach 1.1087 resistance that represents 50% Fibonacci of the medium term bullish wave from 1.0462 to 1.1713, which forced the price to bounce downwards at the end of the sessions, with more negative pressure coming from the moving average 50, besides the relative strength indexes reach to the overbought areas.

Therefore, we expect the price to return to decline in the coming trading as long as 1.1087 resistance remains intact, to target 1.0950 support that represents 61.8% Fibonacci level.