EURUSD Technical Analysis 2016, 25.09 - 02.10: bullish ranging near Ichimoku cloud reversal area

EURUSD Technical Analysis 2016, 25.09 - 02.10: bullish ranging near Ichimoku cloud reversal area

25 September 2016, 18:05
Sergey Golubev
13
89

Daily price is located above Ichimoku cloud in the bullish area of the chart: the price is on ranging within the following key support/resistance levels:

  • 1.1283 resistance located above Ichimoku cloud in the bullish trend to be resumed, and
  • 1.1122 support level located below Ichimoku cloud in the beginning of the bearish trend to be started.

Descending triangle pattern was formed by the price to be crossed to below for the possible bearish reversal, Absolute Strength indicator is estimating the ranging condition to be continuing, and Trend Strength indicator is evaluating the future possible trend as a primary bearish market condition.

If D1 price breaks 1.1122 support level on close bar so the reversal of the daily price movement from the ranging bullish to the primary bearish market condition will be started.
If D1 price breaks 1.1283 resistance level on close bar from below to above so the bullish trend will be resumed with 1.1366 nearest bullish target to re-enter.
If not so the price will be on bullish ranging within the levels.




  • Recommendation for long: watch close D1 price to break 1.1283 for possible buy trade
  • Recommendation to go short: watch D1 price to break 1.1122 support level for possible sell trade
  • Trading Summary: ranging
Resistance
Support
1.12831.1122
1.1366N/A

SUMMARY : bullish

TREND : ranging near bearish reversal


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