Technical Market Overview:
The EUR/USD pair continues to trade lower as the new local low was made at the level of 1.1040. The bulls have broken above the technical resistance at the level of 1.1064, but the bears are taking control over the market again and are pushing the prices lower, towards the technical support located at the level of 1.1024. Please notice the negative momentum and market coming off the overbought conditions at this timeframe.
Weekly Pivot Points:
WR3 - 1.1223
WR2 - 1.1169
WR1 - 1.1113
Weekly Pivot - 1.1058
WS1 - 1.1004
WS2 - 1.0947
WS3 - 1.0888
Trading recommendations:
The best strategy for current market conditions is to trade with the larger timeframe trend, which is down. All upward moves will be treated as local corrections in the downtrend. The downtrend is valid as long as it is terminated or the level of 1.1445 clearly violated. There is an Ending Diagonal price pattern visible on the larget timeframes that indicate a possible downtrend termination soon. The key short-term levels are technical support at the level of 1.0999 and the technical resistance at the level of 1.1267.
