Trade of the Day: EUR/USD

By: Dima Chernovolov

EUR/USD continues to rise inside the 4-hour Up Channel chart pattern, which was recently identified by Autochartist. Autochartist rates the quality of this Up Channel at the 5-bar level – which is the result of the slow Initial Trend (1 bar), average Uniformity (5 bars) and strong Clarity (9 bars). EUR/USD is expected to rise further inside this Up Channel.

As can be seen from the daily EUR/USD chart below – the pair earlier reversed up with the daily Morning Star from the strong support area located between the key support level 0.9600, lower daily Bollinger Band and support trendline of the daily down channel from June. The proximity of this support area adds to the probability EUR/USD will continue to rise inside this Up Channel.