The EURUSD currency pair has formed a consolidation between the two important pivot points that have been consolidating in the bigger bullish formation. The formation is known as the flat top ascending pattern, that could actually make a triangle. This is a bullish formation, and we might see some bullish price action throughout the rest of the day. The speech from Deutsche Bundesbank President Jens Weidmann will occur at 3:15 PM GMT time, which may have an impact on the EURUSD. The Deutsche Bundesbank President is also a voting member of the ECB Governing Council (between May 2011 – Apr 2019). He’s believed to be one of the most influential members of the council. The ECB Governing Council members vote on where to set the Eurozone’s key interest rates, and their public engagements are often used to drop subtle clues about their future monetary guidance.
Technically, the EUR/USD currency pair is bullish above 1.1660, and its targets are 1.1700, 1.1725 and 1.1770. Bears might get the advantage if the pair drops below S1 , but nevertheless, the pair might still be supported around 1.1618. If anything happens that would cause a drop in the price, buyers might also look at the 1.1610-20 zone for a potential scalp trade towards the S1 Admiral Pivot point. For all new traders, bear in mind that the best sessions for trading the EURUSD are London and New York, so the actual bullish move should occur during those two sessions. On the chart (see above) we included a ‘Session Map’ indicator, to help you out if you are still struggling to know which session you should actually trade in.
Short Pivot Lines – Daily Support and Resistance
Long Pivot Lines – Weekly Support and Resistance
POC – POC – Point Of Confluence (The zone where we expect the price to react – aka the entry zone)