[DanRath]

• EURUSD has held the 55 day moving average and the 76.4% retracement of the last rally from the low at the start of October.
• This is not so different from the price action in early July when EURUSD bounced form the 55 day moving average.
• It appears as though the correction down is behind us and that the pair is ready to rally back up towards the recent highs at 1.50+

[DanRath]

Is there a pattern here?

Gold rallied aggressively over the past two sessions and is trading at new all time highs now. The chart above shows that Gold has posted significant gains in the first few trading days of each of the past three months (November included).

Furthermore, in each of the previous 2 examples, Gold LED the way for a rally
in EURUSD

• September 2nd – September 3rd: Gold rallies $46 in two sessions from low to high. The decent rally in EURUSD did not take place until September 8th

• October 2nd – October 6th: Gold rallies $57 in three sessions (low to high). EURUSD also rallied but not by as much and did not catch up on the overlay until around October 14th

• November 2nd to present day: Gold has so far rallied $53 from the rally that really got under way two sessions ago and EURUSD has not, so far, rallied aggressively.

EURUSD has however held good supports and if the previous two examples of the lead provided by Gold in September and October are going to repeat then we can expect EURUSD to rally over the coming days.