EURUSD retests – Analysis - 07-12-2016

The EURUSD pair bounced bearishly yesterday after touching 1.0778 level, which forms solid resistance barrier against the price positive attempts, as it represents the previously broken 76.4% Fibonacci correction level that turns into key resistance now, and the price needs to breach it to confirm the continuation of the bullish trend on the short term basis.

Now, after approaching from retesting 1.0685 level, we notice that there is a bullish rebound in attempt to resume the main bullish trend, as stochastic starts to provide positive overlapping signal on the four hours' time frame, while the EMA50 provides the positive support to the price.

Therefore, we will continue to suggest the bullish trend in the upcoming sessions conditioned by the price stability above 1.0685, reminding you that breaching 1.0778 level will extend the bullish wave to reach 1.0938 as a next main station.

Expected trading range for today is between 1.0650 support and 1.0850 resistance.

Expected trend for today: Bullish