Can this Inverted H&S on EURUSD break to the topside?
Please do your analysis before placing an order on EU.
We can see an inverted on EURUSD today on 4hrs TF. I would wait for the break of the neckline first and then a visit to the neckline followed by a nice candle and then I would go long.
To me EURO is a big bear when looking at the weighted average chart. I think you think the same. Just follow the basic rules for formation. Complete rotation.
This is very easy to spot.
But see where EURO is now. Sitting at the EMAs and very close to fibos
A visit to the EMAs and overhead Fibos expected
But the question is whether EURO gonna get to 38.2% first before pulling bouncing. Looking at this chart we cannot answer the question and we should look for other charts
Remember the EURO has not touched the EURO major FIBO yet.
Long term EURO is a big bear but we would like to know whether we see a bounce here or not before heading further lower.
EURO futures is the next market that I would like to review here
See the extensive move that we started 20 days ago. No sign of retracement what so ever.
At least a retracement to here is expected
Like other indices we have EUSTX50 with opposite correlation with EURO . This one is also just touched the highs and last week just moved lowers which means we should have seen EURO retracement which we have not seen it yet.
Not the best negative correlation in the world but as you can see when indices going lower the EURO should go higher and vice versa.
See the German Yields here. A massive break last a few days and it is now retracing
Same with France Yields
Ok but the crazy moves last week caused by Italy . Let’s look at it now.
See the big drop in Italian Index.