- EUr / USD prints higher highs and lower lows on the hourly chart.
- Daily chart indicators favor a downward breakout of the hourly chart triangle pattern.
EUR / USD consolidates in a symmetrical triangle pattern on the hourly chart.
A move above the upper end of the triangle, currently at 1.1842, would confirm the breakout of the triangle and open the doors to resistance at 1.1833.
Alternatively, a breakdown of the range, if confirmed by a move below 1.1805, would imply a further decline from August. 18 higher from 1.1966 and gives way to a deeper pullback to 1.1711 (12 Aug low).
The 14-day Relative Strength Index dipped off an ascending trendline, representing an uptrend from the March lows. The Slow Stochastic Indicator also signals bearish conditions with an impression below 50.
As such, the symmetrical triangle on the hourly chart is more likely to be crossed to the downside.