The EUR/USD pair is trading within a rising wedge below the 200 EMA with a slight bearish bias.
During these last few days, the Euro was trading in a range of 1.1350-1.1400 versus the US dollar. A sharp break above one of these levels could determine its next short-term direction.
Further escalation of geopolitical tensions could make it difficult for EUR/USD to rise above 3/8 Murray (1.1413).
At the same time, a negative change in risk sentiment could provide a boost to the dollar that could push EUR/USD lower, falling towards the support 1/8 Murray at 1.1291 and reaching 0/8 Murray at 1.1230.
On the upside, 1.1413 will be your next resistance to challenge. A daily close above 3/8 could accelerate the move higher towards 4/8 Murray at 1.1494.
The market sentiment for EUR/USD shows that there are 48.75% of traders who are buying the pair. This is a mixed signal and the euro is likely to continue trading between the range zone of 1.1291 (1/8) to 1.1416 (3/8) in the coming days.
Our trading plan for the next few hours is wait for a sharp break below 1.1352 and below 2/8 Murray with targets at 1.1291 and 1.1230. The eagle indicator supports our bearish strategy as it is giving a negative signal.
Support and Resistance Levels for February 18 - 21, 2022
Resistance (3) 1.1449
Resistance (2) 1.1413
Resistance (1) 1.1389
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Support (1) 1.1352
Support (2) 1.1291
Support (3) 1.1262
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Scenario
Timeframe H4
Recommendation: sell below
Entry Point 1.1352
Take Profit 1.1291; 1.1230
Stop Loss 1.1387
Murray Levels 1.1413 (3/8), 1.1352(2/8), 1.1291 (1/8), 1.1230(0/8)
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