FX.co ★ Trading plan for EURUSD for October 12, 2023

Technical outlook:

EUR/USD hit the 1.0620 initial resistance on Tuesday as projected. The single currency pair should ideally produce a pullback lower towards the 1.0480-90 zone at least, before resuming its rally. It is seen to be trading close to 1.0605 at this point in writing and is expected to turn lower soon towards 1.0580 in the immediate near term.

EUR/USD is working on a larger-degree counter-trend rally projected towards 1.0800 and 1.0970 going forward. As the bulls have managed to take out the 1.0620 resistance, prices are expected to pull back lower a bit before resuming higher again. The bears are expected to remain in control for the next 2-3 days, dragging prices lower through 1.0480.

Alternatively, if prices continue to drop below 1.0480, we can expect yet another low towards 1.0200 in the days to come. We shall re-evaluate the structure again around 1.0480 before committing further. Traders might want to take short-term profits around the 1.0610-20 zone and wait for a pull back.

Trading idea:

A potential drop to 1.0480 against 1.0650 to be underway soon.

Good luck!