An interesting technical pattern continues to build on this monthly chart for the euro (^EURUSD), with bearish outside months posted during January and February. This means the euro traded outside the previous month’s range before closing lower, both months, usually an indicator of bearish momentum. However, monthly stochastics are already below the oversold level of 20% and have been since October 2021. I still don’t see a long-term buy signal for the euro, and am not sure what form such a signal would take at this time. If buying the euro on the idea it is oversold, stops could be placed below the February low of 1.11067.
