Analysis for November 2nd, 2016
EUR USD, “Euro vs US Dollar”
The EUR/USD pair broke the correctional retracements of 38.2% and 50% easily. However, now bulls have to break the retracement of 61.8%. If they fail and the price rebounds from this level, the market may resume falling. To confirm this scenario, the price has to fix below the retracement of 50%.
As we can see at the H1 chart, the correctional retracement of 61.8% is confirmed by intraday fibo-levels as well. So, if the price rebounds from the upside target area, the bullish rally may be over and the market may reverse to the downside.
EUR GBP, “Euro vs Great Britain Pound”
The EUR/GBP pair has successfully reached the group of fibo-levels, which bulls already reached earlier. In the nearest future, the market may continue moving towards the upside border of this area. If later the price rebounds from this area, the market will start a short-term decline.
As we can see at the H1 chart, the pair reached the group of target fibo-levels and fixed there. On Wednesday, the price may test the upside border of this area. If the market breaks it, bulls will push the price higher.
RoboForex Analytical Department