Intraday technical levels and trading recommendations for EUR/USD for November 6, 2018
On the weekly chart, the EUR/USD pair is demonstrating a high-probability Head and Shoulders reversal pattern where the right shoulder is currently in progress.
On September 10, the price level of 1.1500 offered temporary bullish recovery. Quick bullish movement was demonstrated towards the upper limit of the price range (1.1750). However, the EUR/USD bulls failed to pursue towards higher bullish targets.
On October 10, Recent bearish decline below 1.1520 found its way towards the price level of 1.1420 where temporary bullish pressure was pushing the EUR/USD pair above 1.1520 until bearish breakdown of 1.1520 occurred again on October 17.
Hence, a descending high was established around 1.1600 enhancing the bearish side of the market.
However, by the end of last week’s consolidations, recent bullish recovery was demonstrated around 1.1307. Another bullish breakout above 1.1400 was temporarily demonstrated again.
Next bullish destination would be located around 1.1520 (upper limit of the depicted congestion zone) if bullish persistence is maintained above 1.1400-1.1420.
On the other hand, as for the bearish side of the market to regain dominance, the EUR/USD pair should continue trading below the price level of 1.1400.