The EURUSD has extended to yet another new high end and the process is testing the next target swing area between 1.0933 and 1.0942. I outlined this level in the earlier post/video (see video here).
The area was a solid floor gone back in time before breaking on May 11 and started the run to the downside that took the price to the low reached on March 31. Dammit.
The sharp move to the upside has the pair moving toward overbought conditions as it moves into the next key target area. Buyers may look to take some profit against the level with a stop above 1.0942. Having said that, a rotation back down to the 61.8% retracement at 1.0919 would need to be broken to give sellers more confidence. Below that getting back below 1.08955 would also be needed to give way to give sellers more control.
Absent those types of moves, and the selling here would just be a corrective move and what is a bullish break and bias. .
This article was written by Greg Michalowski at www.forexlive.com. Source