Technical Market Outlook:
The EUR/USD pair had bounced from the swing low seen at the level of 0.9539 and is approaching the key short-term technical resistance located at the level of 0.9867. The nearest technical support is seen at 0.9812 and 0.9749. In the longer term, the key technical resistance level is located at 1.0389 (swing high from August 11th), so the bulls still have a long road to take before the down trend reversal is confirmed. Please watch the USDX as the correlation between this two markets (EUR/USD and USDX) is directly opposite. The short-term outlook for the EUR remains bearish until the swing high seen at 1.0389 is clearly broken.
Weekly Pivot Points:
WR3 - 0.99372
WR2 - 0.97857
WR1 - 0.97189
Weekly Pivot - 0.96342
WS1 - 0.95674
WS2 - 0.94827
WS3 - 0.93312
Trading Outlook:
The EUR is still under the strong bearish pressure and as long as the USD is kept being bought all across the board, the down trend will continue far below the parity level, towards the new multi-year lows. In the mid-term, the key technical resistance level is located at 1.0389 and only if this level is clearly violated, the down trend might be considered terminated. Please notice, there is plenty of down room for the EUR to go as the bears keep making a new, multi-year lows.
