EURUSD bulls reclaimed a key level on Wednesday, though month-end volatility may have played a role.
Watch today’s video to see my EURUSD trading plan and get the latest DXY update.
EURUSD closed above a key level on Wednesday, turning 1.0840 into support.
The DXY also turned lower from the 104.00-104.50 resistance area, as anticipated.
However, euro longs should exercise caution here.
As I mentioned in recent videos, any pullbacks in the US dollar may be shallow given the aggressive October rally.
Moreover, the DXY reclaiming 102.60 could set the stage for a stronger USD through the rest of 2024.
I’m leaning toward EURUSD shorts on strength, rather than looking to go long.
Today marks the last trading day of October, so prepare for potential volatility from market makers.
The last day of the month often brings erratic price moves, and today will likely be no different.
If EURUSD closes below 1.0840 on the daily, shorts could target 1.0780.
However, with Thursday as the month’s final trading day and non-farm payroll data on Friday, this setup will likely need to wait until Monday.
