Breakout or Fakeout

1 Mei 2016

EURUSD Price action appears to want to break out of the upper trading range set back in May 2015, but it's inability to push through above 1.1463 is a concern here. The rising trend continuation seems awfully similar to the technicals set in late October of 2015, wanting to breakout only to reverse harshly lower. Same set-up here ? Furthermore, the other currencies ; like USDJPY, USDCAD, USDCHF, were not positioned at lower ends as they are today, a slight reversal of these currencies can come at any time & poof goes down the EURUSD. Also, the recent rise in XAUUSD had pushed the EURUSD along the rising trendline, but a reversal or waning of XAUUSD could put downward pressure on the EURUSD. A possible repeat of October's price action is possible here.