FX.co ★ Trading plan for EURUSD for November 19, 2021

Technical outlook:

EURUSD is testing its low carved at 1.1263 on Wednesday. The single currency pair formed a bullish Morning Start candlestick pattern on the daily chart in-line with expectations. The recent decline from 1.1374 is probably a correction before the next leg higher towards 1.1500 at least. Only a consistent break below 1.1263 will bring back bears into the game.

EURUSD has bounced off a few convergence zone. 1. The Fibonacci 0.618 retracement of previous rally between 1.0636 and 1.2350. 2. The past resistance turned support zone (June 2020). 3. Morning Star candlestick pattern carved around 1.1290-1.1300 convergence zone. Ideally, bulls are expected to be back in control from here (1.1300) soon.

The larger wave structure remains constructive for bulls until the above low at 1.1263 holds well. A slip below 1.1263 will open the door toward 1.1160 price support as marked on the chart here and could also drop to 1.1000 before turning higher again. For now, it is good to remain long against 1.1263.

Trading plan:

Potential rally towards 1.2350 against 1.1250

Good luck!