Technical Market Outlook:
The EUR/USD pair has bounced from the swing low located at the level of 1.1704, but so far the bounce is very shallow. The nearest technical resistance is seen at the level of 1.1752 and 1.1760. The momentum is negative and bears are in full control of the market. The next target for bears is seen at the levels of 1.1695 and 1.1655. Only a sustained breakout above the level of 1.1760 would change the temporary outlook to more bullish.
Weekly Pivot Points:
WR3 - 1.1930
WR2 - 1.1870
WR1 - 1.1843
Weekly Pivot - 1.1772
WS1 - 1.1740
WS2 - 1.1673
WS3 - 1.1643
Trading Outlook:
Despite the recent breakout form the Falling Wedge pattern, the rally did not last for long and the down cycle had been resumed. When this cycle scenario is confirmed by breakout above the level of 1.2000, the up trend can be continued towards the next long-term target located at the level of 1.2350 (high from 06.01.2021). However, for now, the market is control by demand that might push the prices lower towards the key technical support located at 1.1599.
