The EUR/USD pair is showing signs of strength following a breakout of the highest level of 1.1730. The level of 1.1730 coincides with 50% of Fibonacci which is expected to act as minor support today. Since the trend is above the 50% Fibonacci level, the market is still in an uptrend. But, major support is seen at the level of 1.1730. Furthermore, the trend is still showing strength above the moving average (100). Thus, the market is indicating a bullish opportunity above the above-mentioned support levels, for that the bullish outlook remains the same as long as the 100 EMA is headed to the upside. Therefore, strong support will be found at the level of 1.1730 providing a clear signal to buy with a target seen at 1.1802. If the trend breaks the minor resistance at 1.1802, the pair will move upwards continuing the bullish trend development to the level 1.1860 in order to test the major resistance.
The material has been provided by InstaForex Company - www.instaforex.com