Week ahead – EURUSD

With EURO creating higher highs across all pairs I am expecting some kind of broader retracement. With break out of 3400's the EURO has moved in a 170p. swings followed by minor retracements of 50 – 70pips. If we make an average out of that, it counts approx. for 38,2 fib retracement. So what am I taking from these moves? I am expecting EURUSD to move lower back to 3590's either on Monday or Tuesday. In my opinion 3480's are easily possible but that is not my target. I am still a longer term bull as long as we stay above 3250's. If you look at the trendlines, they are lining up in a parabolic fashion. As long as the price stays below 3670's I am NOT expecting new highs this week. So heads up, trade well and risk wisely. Be aware about the ECB conference happening this week.

lechiffre