The EUR / USD pair, at the opening of the American session in 1-hour charts, is trading below the 21 SMA and the 200 EMA, under downward pressure, and above the 1/8 Murray support at 1.2023 .
The dollar index (USDX), is with a strong upward trend, in daily charts it is above the SMA of 21, which means that the EUR / USD pair in the medium term could fall to the 1.1840 zone.
This upward movement that we have seen in the euro is considered only corrective, it has the potential to challenge the 1.1962 zone in the short term. In the event of a breakout, a further move may fall to +1/8 Murray at 1.1901, the selling pressure is expected to accelerate and expose 1.1840.
However, if the EUR / USD pair bounces back above the support of 1.2023, we could buy only if it sustains above this level with targets at the SMA of 21 and EMA of 200.
Our recommendation is to sell only if the pair breaks the Murray support zone located at 1.2023, a consolidation below this level will be a good opportunity to sell with targets at 1.1962.
Support And Resistance Levels For March 04 - 05, 2021
Resistance (1) 1.2071
Resistance (2) 1.2101
Resistance (3) 1.2142
Support (1) 1.2001
Support (2) 1.1960
Support (3) 1.1935
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Trading tip for EUR/USD for March 04 - 05, 2021
Buy if rebound at 1.2023 (1/8 of murray and strong support) with take profit at 1.2065 and 1.2112, stop loss below 1.1985.
Sell if pullback at 1.2112 (EMA 200) with take profit at 1.2060 and 1.2020, stop loss above 1.2145.
Sell if breaks 1.2010 (strong support) with take profit at 1.1962 (+1/8 murray), stop loss above 1.2023.
