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The Daily Forecaster: EURUSD Print E-mail
Daily Forex Technicals | Written by FX-Forecaster | Mar 19 13 08:04 GMT

The Daily Forecaster: EURUSD

Price: 1.2943

Bias: We should now see losses to 1.2840 and 1.2803

The underlying MT direction is bearish while the daily bias is bearish. This may indicate price consolidation or an unclear wave structure that needs confirmation. Note key MT support & resistance levels that may break the MT trend or would suggest a resumption of the move lower. It is very 2 important that you consider either bullish or bearish set up patterns in indicators or lower time frame charts to support S&R breaks. 2

Consider buy set ups at: 1.2800-25 (care)

Consider sell set ups at: 1.2915

Resistance 1.2967 1.2985 1.2995-00 1.3030 1.3045-50 1.3077-06
Support 1.2923 1.2911 1.2881 1.2864 1.2840 1.2803-27

Daily outlook

Yesterday was always going to be a cautious one. The downside did see a marginal new low but then a correction that stalled at the 4-hour Price Equilibrium Cloud. We have two options here - the first being that we saw a completed wave at 1.2881 and the second that the low was only part of the decline. I tend to feel the latter is more likely. This would imply that we should see losses back down to the 1.2864-81 area en route the 1.2840 projection. From there expect somewhere around 40 points in a correction before extending to the 1.2803 area. From here expect as much as 100 points in a correction.

A direct break back above 1.3000-10 would risk further gains to the 1.3045-50 pivot resistance. Above there is Friday's 1.3106 high.

Medium Term Outlook

19th March: The shortfall in the downside target (1.2887) and the subsequent shortfall in the correction (within an impulsive move lower) both failed. This is pointing to the greater likelihood that we are seeing a corrective structure developing. This can still extend lower but we're going to have to watch this carefully. At this point I feel we have potential down to 1.2803 and after a correction to the 1.2700 area (approximately). If this develops as I feel then we'd still get a correction and another new low before this reverses higher. However, in general do watch for bullish divergences from the daily chart through 4-hour & hourly charts to aid in identifying a reversal higher.

 

About the Author

Ian Copsey
FX-Forecaster

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The Daily Forecaster is an analytical tool only and is not intended to replace individual research. The service is offered as an opinion on the current state of the market with anticipated trading signals but not recommendations. The information provided in The Daily Forecaster should not be relied on as a substitute for extensive independent research before making your trading/investment decisions. Ian Copsey is merely providing this service for your general information. No representation is being made that any view or opinion will guarantee profits or not result in losses from trading. In addition any projections or views of the market provided may not prove to be accurate. The opinions are subject to change without notice. Opinions or views expressed in The Daily Forecaster are not meant to be either investment advice or a solicitation or recommendation to establish market positions. Ian Copsey will not be responsible for any losses incurred on investments made by readers and clients as a result of any information contained in this service. The information contained is private and may not be distributed or shared.

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