In the American pre-market, the EUR / USD pair is trading below the SMA of 21 and below the 6/8 of Murray which acts as a strong resistance with a bearish bias and trading sideways.
EUR / USD could not overcome the 1.2085 barrier that we pointed out yesterday in the analysis and fell back and found support again at the 1.2055 area. At this time of writing it is trading around 1.2067, moving sideways, this is a sign that the markets are waiting for the data to be released in the United States.
The foreign exchange market is with the expectation placed on the meeting of the FED. No changes are expected, the tone and signals from the Fed will be key. It is estimated that the description of the economy would be more optimistic considering the latest data such as consumer confidence for April and February home price indicators exceeded expectations.
On a technical level EUR / USD is under downward pressure, below 6/8 Murray, the bias is bearish for the pair, which could change if there is a break and consolidation above 1.2085. However, to see a significant strengthening in the short term, the euro should break the 1.2100 barrier.
In the opposite direction, at 1.2040, the 200 EMA is located and a little lower is the 5/8 Murray at 1.2023 as another immediate support. A break below the psychological level would imply a change in trend and the target of the Euro could be the 1.1800 zone.
Our recommendation is to sell below 1.2085 (Murray 6/8), and buy if it bounces off the 200 EMA around 1.2040.
Support And Resistance Levels For April 28 - 29, 2021
Resistance (1) 1.2099
Resistance (2) 1.2113
Resistance (3) 1.2135
Support (1) 1.2041
Support (2) 1.2027
Support (3) 1.1991
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Trading tip for EUR/USD for April 28 - 29, 2021
Sell if pullback 1.2085 (6/8 of murray) with take profit at 1.2040 (EMA 200) and 1.2023 (5/8), stop loss above 1.2127.
Buy if rebound 1.2040 (EMA 200) with take profit at 1.2080, stop loss below 1.2015.
