The EUR / USD pair looks on the defensive after three consecutive daily rallies. The inability of the euro to advance above the 200 EMA zone, around 1.2150, appears to have triggered some profit-taking among investors and the return of sellers to the markets.
The EUR / USD pair has strong resistance, around 1.2150 so far this week. The rally from last week's lows of around 1.1950 is supported by the prospects for additional fiscal stimulus from the Fed and ECB.
On the 4-hour chart the EUR / USD is trading below the symmetric triangle and below the SMA of 21 there is likely to be a pullback towards the 1.2130 area, below the technical pattern.
The SMA level of 21 is the key level for now, because if the EUR / USD remains below this level we expect there to be a downward movement to the 3/8 area of Murray, around 1.2085, this will be its immediate support.
Furthermore, a definitive break below Murray's 3/8 could accelerate the decline to the 1.20 psychological lows and 1.1952 previous support.
On the contrary, a pullback towards the area of the 200 EMA around 1.2151, if it fails to consolidate, will be a good selling opportunity because this level is a strong barrier for the pair and on several occasions it has pushed down the euro-dollar.
The eagle indicator is showing an overbought signal and it is likely that in the next few days there will be a correction of the EUR / USD to the levels of 1.20 approximately.
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Support And Resistance Levels For February 12 - 15, 2021
Resistance (1) 1.2130
Resistance (2) 1.2165
Resistance (3) 1.2230
Support (1) 1.2073
Support (2) 1.2044
Support (3) 1.2009
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Trading tip for EUR/USD for February 12 - 15, 2021
Sell below 1.2117 (SMA 21) with take profit at 1.2085 (3/8) and 1.2044, stop loss above 1.2150.
Sell if pullback at 1.2150 (strong resistance and EMA 200) with take profit at 1.2085 and 1.2044, stop loss above 1.2182.
