A look at the EURX ahead of FOMC by Mary McNamara

The EURX is having a good month so far and, although there are still three trading days before the month closes and FOMC to get through, it is currently printing the first bullish monthly candle for five months. 

 This gain has come mostly at the expense of a stagnating USD. Thus, FOMC has the potential to further define the EURX as any continued USD weakness will help to boost the EURX.

EURX monthly: I’m still seeing a bullish ‘inverse H&S’ building here. The 61.8% fib near 103 could still be a target here but that might depend on FOMC:

EURXmonthly

EURX weekly: the index has been within a descending trading channel now since the start of April. That is a period of seven months and, thus, any break and hold out of this channel would be significant:

EURXweekly

EURX daily: the daily chart shows how the index is edging back up to test this trading channel trend line ahead of FOMC.

EURXdaily

EURX: the 4hr chart shows how price has been rather bullish for the the last few sessions:

EURX4

EURX daily Cloud: this is probably the most interesting of the Cloud charts. The Tenkan/Kijun lines have fused again but watch for any move back up through the Cloud:

EURXdailyCloud

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