EUR/USD has been trading upwards as we expected. EUR tested the level of 1.1304. EUR has been extending gains since our previous analysis.
The daily bullish divergence on the Stochastic oscillator did set the tone for the upside and the EUR is still trading higher with decent momentum and no signs for a trend reversal. Our first target and short-term resistance (20 EMA) is seen at the price of 1.1315. If the price breaks the level of 1.1320, we may see a potential test of next resistance levels at 1.1342 and key resistance at 1.1400.
Trading recommendation: We are still long EUR from 1.1248 but we closed half of the position at 1.1300 and on second half our target is set at 1.1400. Stop loss is moved at 1.1275.
The material has been provided by InstaForex Company - www.instaforex.com