The EUR / USD pair bounces from 1.2050 lows, now trading above Murray's 3/8 and close to the 21 SMA on 4 hours charts, we expect the bounce to reach to the 200 EMA around 1.2177.
Above the 200 EMA in the 4-hour charts we could consider a continuation of the uptrend, up to the 1.2350 levels, if the pair remains below 1.2207, the downward pressure could continue to weaken the EUR / USD pair to levels of support at 1.1962 in the medium term.
This morning of the American session, the EUR / USD is trading with an uptrend in 4-hour charts, the eagle indicator is showing a bullish signal, for which there is an opportunity to buy every time there is a pullback to the support zone.
A rebound again at Murray's 3/8 support zone around 1.2085, would be a good opportunity to buy with targets at 1.2177, there is the 200 EMA and up to Murray's 4/8 at 1.2207.
The exponential moving average of 200 located at 1.2177, will now act as strong resistance, we hope that at this level, the Euro will weaken again, if you observe a consolidation of the EUR / USD pair, below this level we recommend selling with targets at the 1.2085 support.
Market sentiment for today January 19 shows 53% of traders who are selling the EUR / USD pair, since there is not much selling force, a decline to the 1.1962 zone is likely in the medium term. The key level to watch is 1.2207.
Support And Resistance Levels For January 19-20, 2021
Resistance (1) 1.2150
Resistance (2) 1.2172
Resistance (3) 1.2271
Support (1) 1.2105
Support (2) 1.2071
Support (3) 1.2025
Trading tip for EUR/USD for January 19-20, 2021
Buy above SMA 21 at 1.2117, with take profit at 1.2177 and 1.2205, stop loss below 1.2085.
Buy if rebound around 1.2085 (3/8), with take profit at 1.2177 and 1.2205, stop loss below 1.2050.
Sell if pullback to 1.2207 ( EMA 200) with take profit at 1.2145 and 1.2085, Stop loss above 1.2242.
