Weekly Chart Analysis ~ forex trading signals facebook
Weekly and Daily Analysis
Inverted Head and Shoulders
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| Weekly Chart Analysis |
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| Daily Chart Analysis |
On the weekly chart we observe that the Euro moved up to the January 2012 low (orange line).
On the daily chart we see that EUR/USD respected (closed at) the 20 SMA yesterday and today price moved above the 20 SMA up to the Januarys low at 1.2624 (orange line) and the 61.80 % fib retracement at 1.2620. This resistance zone held the Euro and price fell back from this level into the price range of yesterdays daily candle. EUR/USD already failed to recapture the low from January 2012 on May 28th (recent high from May 28th coincides with Januarys low).
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| 1 hour EUR/USD forex chart analysis |
On the hourly chart (above) we see that the Euro started todays up move from the recent swing high at 1.2543 (blue line-C). After the back test of this level (resistance became support-C) EUR/USD moved above the weekly R1 but market found resistance at the orange line (low from January 2012), 61.80 fib retracement, daily R1 and the 61.80 % fib extension (A-B at C)
Overall, the Euro could not overcome this resistance zone at about 1.2624 and in the following price sharply fell back from resistance at 4 p.m. before price found solid support at at the 10 SMA on the 4 hour chart at 1.2546 (4 p.m. candle-not shown) closely to the recent swing high (blue line-support-D) at 1.2543.
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| 5 min Inverted head and shoulder |
On the 5 min chart we see that EUR/USD formed a typical 3 wave consolidation pattern at the price level of the weekly R1 (between 1-2 p.m.) before the Euro resumed its uptrend terminating at the resistance zone. The Euro reversed sharply and took out the recent striking low at 1.2562.
Inverted Head and Shoulders chart pattern
The recent consolidation from the beginning of todays European session (8 a.m. - 10 a.m.-not shown) provided some support and led to a pause of the sudden price drop before market headed up again at 4:35 p.m. after price reached the 10 SMA on the 4 hour chart (not shown). The Euro formed a kind of inverted Head & Shoulder (3,4,5), which got triggered and market moved up to the consolidation pattern at todays high (6).More info for Weekly Chart Analysis ~ forex trading signals facebook:
