EURUSD – Correctional consolidation

27.09.2022

Daily: After four consecutive bars outside the lower Bollinger envelope, as expected, the upward correction started. The potential for its development may be quite large, up to the middle bar (0.9932).

H4: We have a very strong dynamic resistance level at 0.9734 (middle Bollinger band), which might result in one more attempt to go down because of the earlier broken down lower envelope.

H1: The intraday dynamics is flat. The trading range is limited by the size of the horizontally oriented Bollinger envelopes (0.9589-0.9679).

Results: Flat in the range of 0.9589-0.9679.

Recommendations: Trade in the range of 0.9589-0.9679.