Trade of the Day: EUR/USD
By: Dima Chernovolov
EUR/USD continues to fall toward the key support level 1.1528 which was previously identified by Autochartist on the 4-hour charts. Autochartist rates the Significance of this support level at the 4-bar level – which is the result of the four previous price reversals from this price level. EUR/USD is expected to continue to fall toward the key support level 1.1528.
As can be seen from the daily EUR/USD chart below – the price earlier broke the support trendline of the daily up channel from the start of October – which strengthened the bearish pressure on this pair. This trendline is acting as the resistance trendline after it was broken. The proximity of this resistance trendline and the clear daily downtrend increase the probability EUR/USD will continue to fall toward the key support level 1.1528.