Important levels for the week ahead on EUR/USD!!!
It is a new week and also as of last Friday we are now in a new month so do not forget to take the monthly candlestick into consideration when doing your weekly analysis !!
On EUR/USD we are seeing a bullish Monthly and weekly candle stick following last week’s price action with the main cause and culprit for this bullish move being the USD weakness that we saw across the board for most of last week.
Aligning the 4 hour time frame with the higher time frames price is again bullish which shows us the bulls currently have full control.
However! We are at very important levels for this pair. We can see that this pair has broken through the weekly trend line and after an initial rejection of this resistance which we saw two weeks ago were are now pressing to push higher once again and create a new higher high on the short - medium term bullish trend and adhering to the ascending trend line as shown on my chart.
If we can see a break and close above 1.1180 we can see EUR/USD continue to advance higher and after a pull back to retest the break out we can expect 1.1250 as a first target.
On the flip side, as the current level is so important for EURUSD, if price fails to attempt the 1.1180 level it could be the start of a possible reversal from here but any downside movement would have to be met with caution once price reads the bottom of the current range at 1.1075.
Watching this one very carefully today!