FX.co ★ Trading plan for EURUSD for September 06, 2021

Trading plan:

EURUSD had pushed through 1.1900 mark on Friday before pulling back. The currency pair is trading close to 1.1865 at the time of writing and is expected to drag further towards 1.1810/20 in the near term. The rally between 1.1660 and 1.1900 looks complete and it needs to retrace before resuming higher towards the 1.2050 mark and above.

EURUSD could drop towards 1.1750 before bulls are back in control again since it is the fibonacci 0.618 retracement of the recent upswing between 1.1660 and 1.1900 levels respectively. Thereafter, the major is expected to push towards 1.2050-1.2100 zone, which is the fibonacci 0.618 retracement level of the earlier drop between 1.2266 an 1.1600.

The entire structure unfolds as a counter-trend (lower) within the counter-trend (higher) of the larger wave structure. The pair faces immediate resistance around 1.1920, while support comes in around 1.1600 level on the daily chart.

Trading plan:

Potential remains for a push towards 1.2050 against 1.1650

Good luck!