By: Doug Rosen
We start out this session within a very tight range for this pair. I have a feeling this range will soon be busted to the upside and I will expect bullish conditions for this pair. Since I am bullish tonight on the EUR/USD I would be bullish on this pair as well after all, both pairs are closely correlated with one another.
Looking at the daily chart I get a mixed bag since stochastics is bullish and crossing up out of the oversold zone as well as price above the 5 ema but we are approaching a 38.2 fib to the downside from the previous swing down. Price looks like it wants to ride the daily 5 and the 5 could roll over and cross above the 13 but then there will be the 21 to contend with causing some choppiness.
Moving over to the 4 hour price is riding the 5 ema up and the upper Bollinger Band is wide open pointing up but we are approaching the 55 ema so there will be a bit of a fight around 106.77 Looking at the hourly we are also riding the 5 with the 13 just underneath to back up the 5 and the 21 is beginning to catch up to the 144 ema. Lower Bollinger Band is pointing up but the upper is not. Today's session does start out above the Daily Central Pivot Point and the 15 minute Bollingers are a bit narrow but the upper Band looks like it wants to open. This pair is bullish but has a lot to contend with which may cause ranging conditions.
