Europe Open: EUR/USD broke above 1.30, trying to stay afloat.

EUR/USD H1

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EUR/USD rally during US Session to hit above 1.30, but failed to test 1.305 which was the high on 20th Sep. Today’s Europe session begins with bulls fighting to defend the 1.30 line in the sand. A break above 1.305 will encourage bulls to go higher while a break below 1.298 (L3) may result in price contemplating within 1.288 to 1.298 consolidation zone.

GBP/USD H1
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1.62 to Cable is akin to what 1.30 is to Fiber. However GBP/USD does not need to look too distant for a target. Currently Price is trading slightly below 2nd Oct high. Bulls will need to clear that, and keep price within 1.618 – 1.62 before seeking higher targets.

DAX Futures H1

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Still trading within this week’s range. Yesterday’s sharp selling during Europe hours did not push this week to fresher lows (ignoring Monday’s opening levels). Price could again stay within this range without any news catalyst from Euro-Zone.

FTSE 100 Futures H1

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Similar to DAX but potentially forming an upward Triangle from 1st Oct lows to current price. Early Europe session tried to push price to Yesterday’s high but has failed to even touch it. If a shooting star candle is formed, this will set a bearish tone for FTSE 100 today as price is currently at the top of the consolidation range.

Brent Crude Oil H1

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Price recovered sharply due to Turkish-Syria conflict and also the unfortunate fire that occurred in the largest Oil Refinery in US. Brent has more than compensated for the loss seen on Wednesday but is unable to push price above the 50.0% Fib retracement and is currently trading along $111.20 – $112.7 consolidation.

Bottomline:

Other than EUR/USD which has made significant strides to the upside, all other Europe related assets remained mostly flat/ ranging. Spain was rumored to request for bailout this weekend but that appears to be unlikely with their Economic Minister denying that they even need aid to begin with. Keep a lookout on Monday to check how the upcoming weekend developments (or lack thereof) impact the mostly trending market.

 

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