The EUR/USD had broke an important resistance in July, what next!?
After 5th bullish month in a row, the EUR/USD buyers finaly manage to brake strong resistance, which held the pair for more then 2 years. As I pointed in my previous EUR/USD analysis from July 18. this was a 3rd attack and it was successful. On the last day of July, buyers pushed the pair true the 1.1800 level, which holds on the way down in the beggining of August. The buyers have took a new teritory now and they’ve probably built a support area all the way to 1.1600/500, where I see a huge players. Latest developments can indicate a possible target for 2017, which can be somewere in between monthy MA200 and MA100 at 1.2300/500. Is it possible for euro buyers to reach that in 2017? Well, we will see, but I don’t see the pair bellow the 1.1500 support furder on in 2017.
If we take a look at this montly chart with Fibonacci retracement set at May 2014 > December 2016/January 2017, we can see that with the latest move the pair broke 38.2 return level. This could be a benefit for the buyers as well in the coming period in 2017.