EUR/USD on the way to complete double-top chart pattern

May 21, 2014 in Chart Alert

EUR/USD had gone down to 1.3648 last week and in doing so the pair had broken below the hammer styled candle of May 15th. That daily candle had created some doubts about a possible reversal and failure of the chart pattern. However, the subsequent market moves seems to be just a brief market noise and the pair saw a sharp fall again, which took it below the neck line.

EURUSD double top chart pattern

What to Expect?

Caution is required for a possible support at 1.3643 of February 27th. In case the price breaks below that, then a sharp drop towards 1.3565 can not be ruled out. Remember 1.3562 strong support of February 12th for the same, which also brings in the psychological support of 1.3500 ranges. However, possibilities of a drop towards 1.3520 will come into the picture with such a move.

Do also keep an eye on EUR/USD outlook.

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