Trade Of The Day: EURUSD Testing Range Support

EURUSD – testing range support

EUR approached 1.1100 by the end of the US session, without the signs of changing direction on the back of positive US data. Draghi’s announcement yesterday surprised the market, saying that the ECB may add additional stimulus in December, either by expanding its assets purchases or lowering the deposit rate further below zero

Testing key 1.11 support a failure here opens 1.1020, expect further downside while 1.1250 caps intraday upside reactions.

Trade Idea

  • I am monitoring intraday reversal patterns to venture long against the lower end of the recent range, ultimately looking for a slow grind higher
  • Will be watching for retail FX sentiment to grow increasingly bearish as we test the range support

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