EUR/USD Mid-Session Technical Analysis for April 11, 2019

The Euro is trading lower shortly after the U.S. opening. Volume and volatility are below average with the economic report docket on the light side. Yesterday, both the European Central Bank and the U.S. Federal Reserve came across as dovish, neutralizing the impact of the news. Today, the Euro is essentially trading inside the previous day’s range while investors await the next piece of major information.

At 11:52 GMT, the EUR/USD is trading 1.1268, down 0.0007 or -0.06%.


Daily Technical Analysis

The main trend is up according to the daily swing chart. A trade through 1.1184 will change the main trend to down. This should lead to a test of the next main bottom at 1.1177. This is likely the trigger point for an acceleration to the downside. The nearest main top is 1.1448.

The minor trend is also up. A trade through 1.1230 will change the minor trend to down. This will also shift momentum to the downside.

The main range is 1.1448 to 1.1184. Its retracement zone at 1.1316 to 1.1347 is the primary upside target. Despite the uptrend, sellers are likely to come in on a test of this zone.

Daily Technical Forecast

Based on the early price action, the direction of the EUR/USD the rest of the session is likely to be determined by trader reaction to the downtrending Gann angle at 1.1288.

Bullish Scenario

Overtaking and sustaining a rally over 1.1288 will indicate the presence of buyers. This should trigger a rally into an uptrending Gann angle at 1.1302. Overcoming this angle should lead to a test of a 50% level at 1.1316, followed by a Fibonacci level at 1.1347.

Bearish Scenario

A sustained move under 1.1288 will signal the presence of sellers. If this move creates enough downside momentum then look for the selling to extend into the uptrending Gann angle at 1.1254. Taking out this angle will indicate the selling pressure is getting stronger. This could lead to a test of an uptrending angle at 1.1240, followed by the minor bottom at 1.1230 and a short-term uptrending Gann angle at 1.1219. This is the last potential support angle before the 1.1185 Fibonacci level, the 1.1184 main bottom and the 1.1177 main bottom.

Essentially, the EUR/USD is trading inside a minor triangle with 1.1254 the lower level and 1.1288 the upper level.

Published by

James Hyerczyk

James A. Hyerczyk has worked as a fundamental and technical financial market analyst since 1982. His technical work features the pattern, price and time analysis techniques of W.D. Gann.