EURUSD COMPLETES 31.8% RETRACEMENT; BULLISH TURN IMMINENT

FUNDAMENTAL BEAM

EUR/USD traded in range on the US uncertainty and eventually closed the week marginally lower. Will it pick a new direction now? German ZEW Economic Sentiment, industrial and inflation data are the main market movers. Here is an outlook for the market moving events, and an updated technical analysis for EUR/USD that holds above uptrend support so far.
EUR/USD was supported by the US government shutdown and the upcoming debt ceiling deadline, as well as the poor jobless claims reading. Germany posted an unexpectedly strong trade surplus of 15.6 billion in September but Factory Orders dropped by 0.3% while expected to gain 1.2%. Germany is the leading economy in the Eurozone, having a strong impact on market sentiment. Will German economy growth pick-up in the coming week? Let’s start:
Updates:

• EUR/USD: Outlook Higher Despite Pull Back Attempts: EURUSD: The pair may have closed marginally lower the past week but continues to hold on to its medium term...
• EUR/USD: Trading the ZEW Economic Sentiment Index: The German ZEW Economic Sentiment Index is based on a monthly survey of institutional investors and analysts and their views...
• Taking it to the wire: Idea of the Day It felt like we were heading towards an agreement in the US last week, only for...
• EUR/USD Oct. 14 – Rangebound As US Debt Ceiling Crisis Continues: EUR/USD is almost unchanged as we start the new trading week, with the pair trading close to the 1.3550 line in...
• Forex Analysis: EUR/USD Struggles to Advance from Consolidation: October 14, 2013 – EUR/USD (daily chart) has been entrenched in a slightly bullish consolidation for the past three weeks,...
• Video: US closer to the cliff, EUR/USD above support, USD/JPY squeezed: The October 17th debt ceiling deadline is creeping closer. Is market complacency about to end with a storm? In an...
• EUR/USD Oct. 15 – Dollar Steady as Progress Reported in Debt Limit Crisis: EUR/USD is almost unchanged as we start the new trading week, with the pair trading close to the 1.3550 line in...
• EUR/USD falls to perfect support line on US optimism: Positive German business sentiment didn’t help as the US dollar’s strength is overwhelming. Positive comments from Washington as US traders.

 TECHNICAL BEAM

Following is a drag down to complete an intermediate wave leg (w) of (WXY) pattern formation. On the  completing this wave leg, we expect the pair to establish a bullish wave C leg said to be completed at 1.3742 as seen in the chart below.

NOTE: Price predictions produced by FibonacciPrice&PatternTrader may be affected by unforseen events like hurricane, earth quake, flood and other natural disasters consequently changing price patterns already predicted. Hence we advice strict adherence to money management techniques.

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