After the low in EUR/USD was posted at 1.0458 in March of this present year we have seen a move higher that has looked recuperating in nature (Much slower rally than the fall) and depicted by the incomprehensible bit of higher highs and higher lows, notes CitiFX.
"The inability to set another high on 18 June (1.1439 versus 1.1468 high on 15 May) raised the first issue mark. In a matter of seconds, a contiguous by underneath 1.0819, if seen, would make a lower low and unflinchingly recommend that the downtrend has continued with," Citi joins.
In that determination, Citi feels that the present sample could then be seen as either:
"1-A head and shoulders change with a neck locale at 1.1124 and a hindrance focus of no under 1.0370 (new outline lows).
2-A viable twofold top with a neck zone at 1.0819 and a base purpose of union of 1.0185-1.0200," Citi clears up.
"While longer term (conceivably summer 2016) we hold an objective of .8800-.9000 we would imagine seeing the objective officers above in the weeks ahead if this break of 1.0819 happens," Citi winds.
