EURUSD Forecast Analysis for July 11, 12, 13, 14, 15, 2016
Weekly
Some important changes occurred on the weekly timeframe after the gigantic post-Brexit moves on the EURUSD pair. Notably, an eight-month long channel has been broken to the downside, thus shifting the trend strongly bearish now. With the close of the last week, the MACD indicator confirmed the bearish trend with a bearish crossover itself.
Closing at 1.1050 last week, now the target on the weekly timeframe for the pair is 1.05 which is a major low from March and November 2015. The 1.618% Fibonacci extension of the 1.16-1.11 leg is also in close proximity, at 1.0550.
If the downtrend gathers enough momentum a break below 1.05 is also possible.
EURUSD weekly chart – MACD turns bearish + break of channel
A good strategy for the lower timeframes is to sell the pair, in line with the weekly timeframe bearish view. It’s best to sell at resistance, or if some bearish reversal patterns occur