The FX market did not go far recently as price action can be slowing down ahead of ECB on Thursday. But for now USD remains strong which means that EUR can still reach a new low, but we see a decreasing momentum within an ending diagonal so downside can be limited. Ideally pair will touch area around 1.0530-1.0500 from where we must be aware of strong turn up as ending diagonal usually predicts a powerful reversal.
Interesting, German DAX can also be making an ending diagonal in wave (v) with another leg up in view before bulls can be finished. We see wave iv) now so wave v) can rally up to 11450 where bears can step in. Generally speaking, traders should be aware of a bearish reversal this week.
German DAX, 15 MinGet the 5 most predictable currency pairs