FX.co ★ Ichimoku cloud indicator Daily analysis of EURUSD

EURUSD remains above the Kumo (cloud) but price has broken below the tenkan-sen and the kijun-sen indicators. This is a sign of weakness. This sign implies a move towards cloud support is imminent and highly likely.

Resistance by the kijun-sen (yellow line indicator) is at 1.22. Bulls need to recapture this level soon. Otherwise we should see EURUSD under pressure move lower towards the upper cloud boundary at 1.20-1.1950. The Chikou span (black line indicator) is challenging the candlestick pattern. Support is found at 1.2140-1.2160. Breaking below this level will push price towards 1.20 cloud target.