Taking Profit Action on the EUR Accelerates
Downswing on the EUR accelerated a little bit after the first two days of this week. On many pairs with the EUR we do have weekly lows and we are entering the mid-term bearish sentiment. With those movements we can see few interesting occasions, especially on the pairs with the AUD and NZD.
First, we will start with the EURAUD, where the recent upswing was very steep. Now it looks like the time for the correction has finally come. Fundamentally, the correction is triggered by two shooting stars on the D1 chart. The closest support is the 1.459 and we should get there soon.
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Second setup can be found on the EURNZD, where the price created a double top formation and failed to stop on the 1.576 support. We are clearly aiming the neckline (blue) to test it as the closest support for the current mid-term bullish sentiment.
When speaking about the NZD, we have a bullish reversal on the NZDCHF. There was a chance for the supply yesterday to start a nice bearish movement using the mid-term down trendline and the horizontal resistance on the 0.692. Sellers failed to defend this level and the price managed to break that area triggering a buy signal.