A support area at the level of 1.1735 was built yesterday. This is the zone where the future of EUR/USD will be determined in the first half of October. The closing of trading last day occurred above the specified mark, which may become the reason for the formation of an upward pattern in the coming days. The first growth target will be the maximum of the current week, ergo some purchases must be closed if it is retested or renewed.
The same type of patterns for holding the ECB (European Central Bank) zone is being formed for about three weeks in a row now. The strengthening of the euro exchange rate is supported by the national bank, which indicates the need to find favorable prices for the purchase of the instrument as long as the banking zones act as supports.
In order to change the medium-term direction of trade, it is necessary to close today's trading below the level of 1.1735. This will allow us to consider the formation of a local zone of accumulation and adjustment to a downward impulse. Work towards the weakening of the Euro will take place until the lower banking zone 1.1639, where full fixation of sales will be required. The descending pattern is auxiliary as long as the pair is trading above the 1.1735 level.
The material has been provided by InstaForex Company - www.instaforex.com