Technical Market Outlook:
The EUR/USD pair has reversed towards the short-term trend line support seen at the level of 1.2171 after the Bearish Engulfing candlestick pattern was made at the level of 1.2260. The momentum is weak and negative despite the oversold market conditions. If there is no sustained and coordinated up wave continuation above the level of 1.2242, the bears might strike again and push the prices towards the main channel lower line seen around the level of 1.2160.
Weekly Pivot Points:
WR3 - 1.2356
WR2 - 1.2298
WR1 - 1.2235
Weekly Pivot - 1.2173
WS1 - 1.2117
WS2 - 1.2059
WS3 - 1.1997
Trading Recommendations:
The daily time frame chart show the breakout above the trend line resistance and a new swing high above the recent Doji candlestick high. The momentum is strong and positive, so the up trend can be continued towards the next long-term target located at the level of 1.2241 (25.02.2021) and 1.2350 (06/01/2021).
