My Euro Outlook for July 20-21
As expected the EURUSD broke out of the triangle yesterday. I was a bit disappointed that I missed the move, as I was out and about, but that is life in a 24 hour market. I did manage to take a couple of trades later in the New York session when the Euro started ranging though and got about 40 pips overall. It’s not easy finding time to trade the markets when one has a full time job and a family, but I give it my best. The chart below is not quite complete as it is missing official pivots that are about a half hour away till I get today’s official close from the broker. I think it is relatively safe to say that the highs and lows of the day are pretty accurate at this point though. So here is the outlook and what I will be shooting for–
Yesterday the bulls had the advantage and broke out and today it looks like the bulls will likely still be in control. Anything over 1.42 should remain bullish, with first target around 1.4277 -1.4288. There is some decent resistance at that point and upside could be limited to that area. The next stop would be 1.4320-1.4230 area which is the high from the first week of June and also coincides with a slightly downsloping trend line. Personally, if we break 1.43 that would be about my highest target, conservatively. The next pivot would be around 1.44 and with a strong break of 1.4330 I would set that as my target.
On the downside, 1.4160 looks like good support. There is a strong bullish intraday candle that should help serve as resistance there and first pivot support is also in that area. A good break of that would likely push back in the 1.40-4099 area.
One final note, the chart is a 15 minute chart and there is another triangle that has formed this afternoon. The break, either up or down should be telling and likely will occur before European open, and I think even more likely early in Asia.
So without further ado, here’s the chart–
