Click here to view chart.
– EURUSD coming into a demand zone (support) set in Jan 2011.
– Also might confluence with an ABCD pattern – around 113% to 127.2% Fib Proj of BC
– @ 61.8% FibR of June 2010 – May 2011 upward move on weekly chart
– @78.6% FibFan of June 2010 – May 2011 upward move on weekly chart
Would look to go long (counter trend, so need to be careful) or stay on the sidelines unless there is a break below Demand Zone 2, in which case the bias would turn bearish.
Zone 2 already has some of the supply eaten up, so possibly not that strong.