The breakout we were expecting came through yesterday. Price broke below the range boundary and continue to move lower as predicted.
The fundamental reason behind this Euro sell of was worse than expected German bond sale which increased fear regarding the Euro Zone debt crisis.
Let’s quickly look at EURUSD daily chart:
After the Breakout is complete we expect price to move up and re-test the range low at 1.3420-30 area. Most likely we will see a pullback from this area which will continue to the short selling of Euro.
Keep in mind the upcoming Thanksgiving holiday in US on Friday.
Forex Trading Signal : Look for shorts if price manages to reach 1.3420-30 area. Remain bearish on this pair and look for opportunities to sell if price continues to move lower today, targeting 1.3250