The EUR/USD pair has faced strong resistances at the levels of 1.0616 because support had become resistance on June 28, 2022. So, the strong resistance has been already formed at the level of 1.0616 and the pair is likely to try to approach it in order to test it again. However, if the pair fails to pass through the level of 1.0616, the market will indicate a bearish opportunity below the new strong resistance level of 1.0616 (the level of 1.0616 coincides with a ratio of 61.8% Fibonacci). Moreover, the RSI starts signaling a downward trend, as the trend is still showing strength above the moving average (100) and (50). Thus, the market is indicating a bearish opportunity below 1.0616 for that it will be good to sell at 1.0616 with the first target of 1.0522. It will also call for a downtrend in order to continue towards 1.0458. The daily strong support is seen at 1.0360. On then other hand, the stop loss should always be taken into account, for that it will be reasonable to set your stop loss at the level of 1.0683.
Trading recommendations :
The trend is still bearish as long as the price of 1.0616 is not broken. Thereupon, it would be wise to sell below the price of at 1.0616 with the primary target at 1.0458. Then, the EUR/USD pair will continue towards the second target at 1.0458 (a new target is around 1.0458). The breakdown of $ 1.0458 will allow the pair to go further down to the prices of 1.0360.
