Analysis for July 31st, 2013
Euro is testing the level of 78.6% once more. If the price breaks it this time again, the pair will start a serious descending movement. The first target for the bears will be the level of 61.8%.
The price started a rapid ascending movement, but was stopped by the 2.618 line of the fibo-channel and the pair rebounded from it. The bears are trying to return under the level of 78.6%. The closest target is at the level of 138.2% (from fibo-extension).
Franc also tried to test the level of 78.6%. The bears failed to break the level again, and right now the market is rebounding from it, which means that the pair may start a more serious correction in the nearest future.
At the H1 chart, we can see that todays’ minimum is inside one of the temporary fibo-zones. I placed a limit buy order near a local maximum. There is a possibility that the bulls may reach the level of 61.8% during the next several days.
RoboForex Analytical Department