EUR/USD Mid-Session Technical Analysis for August 17, 2017
The EUR/USD is under pressure at the mid-session on Thursday. Earlier today, an attempt to follow-through to the upside after Wednesday’s reversal bottom, failed to attract enough buyers to sustain the rally.
Technical Analysis
The main trend is down according to the daily swing chart. The trend turned down on Wednesday when the EUR/USD took out the previous swing bottom at 1.1689. A trade through 1.1847 will change the main trend to up.
Your capital is at risk
The new short-term range is 1.1910 to 1.1661. Its retracement zone at 1.1786 to 1.1815 is new resistance.
The main retracement zone at 1.1611 to 1.1540 is the primary downside target.
Forecast
Based on the current price at 1.1696, the direction of the EUR/USD the rest of the session is likely to be determined by trader reaction to the downtrending angle at 1.1690.
Holding above 1.1690 will indicate the return of buyers. This could fuel a strong intraday short-covering rally into the next downtrending angle at 1.1767. This is followed by the short-term 50% level at 1.1786 and a pair of downtrending angles at 1.1800 and 1.1807.
A sustained move under 1.1690 will signal the presence of sellers. The first major downside target is the uptrending angle at 1.1623. This is followed by the major 50% level at 1.1611.
The daily chart is wide open under 1.1611 so we could see an acceleration to the downside. The next major downside target is a potential support cluster at 1.1540 to 1.1538.