Technical Market Outlook:
The EUR/USD pair has been trying to bounce from the extremely oversold market conditions. The bounce might hit the technical resistance located at 1.1986 - 1.1991, but so far the bulls manage to make a local high at 1.1970 only. The next target for bears is the long term trend line support around the level of 1.1795 (marked as orange line on the daily time frame chart). Any violation below this line would trigger another wave down towards the key technical support seen at the level of 1.1704. The nearest technical resistance is located at the level of 1.1986.
Weekly Pivot Points:
WR3 - 1.2305
WR2 - 1.2222
WR1 - 1.2007
Weekly Pivot - 1.1927
WS1 - 1.1702
WS2 - 1.1620
WS3 - 1.1401
Trading Recommendations:
The distribution cycle had been completed and now the market is on the move down. The key long term technical support is seen at 1.1704. When this cycle is terminated, the up trend can be continued towards the next long-term target located at the level of 1.2350 (high from 06.01.2021).
