Europe Open: Prices looking lower before European Fin Min meeting

EUR/USD H1

EUR/USD broke 1.30 and trading below Friday’s low. Prices appear to be supported just before today’s L5, but if price remain steadily below L4 and Yesterday’s low, L5 becomes a viable target for bears to reach.

GBP/USD H1

Cable did not enjoy the same rally as EUR/USD last Friday, with prices moving around 20 pips higher than Thursday High. Currently price is trading close to last week’s low, with a potential break today suggest further downside possibility this week.

DAX Futures H1

Despite the rally last Friday and Today’s opening gap, DAX futures and its underlying share index are still trading within last week’s consolidation range. Should prices break below last week’s range low/ Today’s L5, we could see a higher likelihood of EUR/USD breaking below its L5 barrier and vice versa.

FTSE 100 Futures H1

Price continues its journey southwards but is supported by Channel bottom. Should price push back up above last Friday’s Low/Open, we could see greater optimism amongst bulls to push prices up back to Channel Top this week.

Brent Crude Oil H1

Similar to currencies/equities, Brent started the Asian morning trading lower. Last Friday’s low and Today’s H4 acted as intraday support, and should price not be able to break lower, we could see Brent trading within $111.0 to $113.0 range.

Bottomline:

European Finance Ministers will be meeting today to discuss issues in Spain. Currently prices are sitting precariously close to tipping over to the downside. If European leaders are not able to get any resolutions in Luxembourg, we could see markets favoring the bear side and set the tone for the rest of the week.   

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