Technical analysis of EUR/USD for October 31, 2016

EUR/USD has made an important low last week and has given important reversal signals. Price is making now higher highs and higher lows. Short-term trend has changed to bullish and I expect at least a bounce towards 1.1150 as long as price is trading above 1.0870.

The oscillators are showing that a bullish trend is at its beginning now and a bounce has started. I expect price to move towards the Ichimoku cloud and the broken dark blue trend line. My short-term target is at 1.1150. Intermediate resistance is at 1.1080.

EUR/USD has broken above the Ichimoku cloud in the 4 hour chart giving a short-term reversal signal to the upside. Price is making higher highs and higher lows while the form of the rise looks impulsive, implying more upside for this pair is to be expected. Important low is found at 1.0870, so, a break below that level will most probably cancel any bullish view.The material has been provided by InstaForex Company - www.instaforex.com