EUR/USD Upside Breakout Fails

The EUR/USD failed to attract fresh buying following an attempt to breakout to the upside over 1.38300.  The breakout attempt was a reaction to the news that S&P Corp. may lower the debt rating of the U.K.

The EUR/USD failed to attract fresh buying following an attempt to breakout to the upside over 1.38300.  The breakout attempt was a reaction to the news that S&P Corp. may lower the debt rating of the U.K.

Based on the developing reversal top on the hourly chart, look for sellers to go after stops under the last swing bottom at 1.37564.

If this bottom is breached, selling pressure could take this market all the way back to a retracement zone at 1.36938 to 1.36617.

James A. Hyerczyk has been actively involved in the futures markets since 1982. He has worked in various capacities within the futures industry from technical analyst to commodity trading advisor. Using W. D. Gann Theory as his core methodology, Mr. Hyerczyk incorporates combinations of pattern, price and time to develop his daily, weekly and monthly analysis. His firm, J.A.H. Research and Trading publishes The Forex Pattern Price Time Report... More

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