Binary EUR/USD experienced a huge drop last week. The binary currency pair has lost more than 450 pips last week. This is the effect of the economic woes. The greenback is considered to be a safe heaven and it is appreciating. The binary traders have opportunities to buy call options now and performing swing trading not only place intraday bets.
Binary EUR/USD found many binary put options buyers. The downside pressure was so fierce that there was not a significant correction in the development of the underlying binary currency. The last weekly candle erased all the profits the binary options have made for the last 2 months.
The binary asset is trading in a downside triangle since the beginning of 2012. Currently, it is just above the support of the chart pattern drawn from 1.2600 through 1.2290. It could be a solid basis to start buying binary call options or at least take some intraday positions with different expiry times.
Binary traders may only profit from the expected upside correction. It is possible that the binary EUR/USD test once again 1.2250 before gathering strength and pushing higher. Potential upside targets are 1.2450, followed by 1.2550.
The information in this analysis is collected from different sources and should serve for informative purposes only. The author shall not be held responsible for the validity of the presented information. No part of this analysis recommends the purchase or sale of a currency pair or any other financial instrument.